Tanzania plans to amend the Income Tax Act to tax cryptocurrency transactions

Tanzania plans to amend the Income Tax Act to tax cryptocurrency transactions. The proposal includes a 3% withholding tax on income from digital asset transactions. Owners of digital platforms or promoters of digital asset transfers will act as withholding agents. Foreign citizens operating such platforms must register under Tanzania's simplified tax system. The government expects to increase revenue by 178,600 USD (465 million Tanzanian shillings). Minister of Finance Mwigulu Lameck Nchemba Madelu revealed this tax amendment plan in a speech to the National Assembly on June 13, 2024.