TAX RECOVERY IN TANZANIA

Abstract

Tax justice encompasses far more than a failure to administer justice in any tax appeals court. An efficient tax system achieves the 4 Rs of taxation: revenues to finance public services; redistribution to reduce inequality; repricing to address public harms like the extraction of fossil fuels and tobacco use; and political representation - acknowledging the critical role of tax in ensuring governments are held accountable. The 4 Rs are an effective weapon for tax justice because they guarantee that governments have the resources and the will to provide for their citizens. Tax injustice immediately reduces government revenue, makes it more difficult for them to support social, economic, and political activities, and makes it less likely that they will be able to increase people' wealth and income. This article examines the effectiveness of the tax appeals machinery to determine whether it can prevent or, in some cases, rescue revenue loss while maintaining efficient administration of justice. It does this by acknowledging that tax dispute resolution is a crucial component of the efficient operation of any modern tax system.