East African tax authorities are embracing Artificial Intelligence (AI) to modernize revenue systems and improve voluntary tax compliance. This commitment was announced during the 100th East Africa Revenue Administration Technical Committee (EARATC) meeting held in Dar es Salaam, where regional tax experts discussed technology-driven reforms to enhance efficiency and strengthen economic integration. Tanzania Revenue Authority (TRA) Commissioner General, Yusuph Mwenda, highlighted AI’s potential to create smarter tax collection processes and improve decision-making. He also emphasized the need for simpler, user-friendly tax laws to encourage compliance, citing TRA’s upcoming nationwide awareness campaign promoting proper receipt issuance. TRA’s performance was lauded, having achieved a tax-to-GDP ratio of 14.4% in the 2025 financial year—a benchmark for the region.Despite progress, Mwenda noted challenges such as tax evasion, discriminatory tariffs, and complex tax systems that discourage compliance. He called for stronger regional collaboration to eliminate barriers to trade and harmonize fiscal policies. Other key discussions included formalizing the informal sector, combating corruption, and leveraging data analytics to enhance revenue targeting. EARATC Chairperson Beatus Nchota urged members to remain proactive in adopting innovative technologies like AI, which will be central to building modern, integrated tax systems as East Africa’s economies continue to grow. (ICE NAIROBI)

Fonte notizia: THE CITIZEN