"2,000 Tanzanite Mining Firms 'Evade Taxes'"

As the government gears to establish a tanzanite processing zone, the move has been proved essential as most of the jewel is smuggled, resulting in revenue losses. Local leaders here have volunteered information that out of about 2,000 companies engaging in tanzanite mining, a mineral that is only available in Tanzania, do not pay taxes to the Simanjiro District Council as required by the law. Endiamtu Councillor, Mr Phillemon Oyogo and Tanesco Street Chairman, Mr Justin Sarakikya...said the investors are getting the precious jewel without being accountable in terms of taxes. Mr Oyogo...said if all respective dues were paid to the district council, Simanjiro would be much developed, providing social services and taking people out of poverty.

Addressing reporters who toured the mining area, the councillor said there are more than 1,960 registered companies operating at Mirerani in Manyara Region, but only 10 out of them pay the required dues. Mr Oyogo said that the non-compliance has resulted in poor service delivery by Simanjiro District Council, questioning why such a situation is tolerated while in other areas, companies were shouldering their responsibilities by making local towns prosper. He said that he was armed with documents from the council of companies that pay the levies as passed by Simanjiro councillors. He added that it did not ring into the mind why only 10 companies pay taxes, calling upon district authorities to take swift action so that the government gets its fair share.