GOVERNMENT will work on suggestions aimed at reducing tax exemptions especially those which don't benefit the greater part of society.
Minister of State in the President's Office, Steven Wasira said in Dar es Salam on Saturday, while closing a two-day annual consultative Public Expenditure Review meeting that recommendations from stakeholders on reducing such exemptions will be taken seriously.
"I am confident that the government will take these recommendations that touch on the lives and welfare of all Tanzanians," Mr Wasira said.
He noted that although the government understands that tax exemptions are an important and effective tool in influencing the flow of financial resources to activities of the society, it is important to keep a balance to ensure revenue to Treasury.
"Tax exemptions which are a sensitive area could be reduced although they help investors in the importation of capital goods in the country to some extent," he noted.
Regarding the agriculture inputs voucher system, Wasira said the government will critically examine the recommendations with the view to improving on the objectives and management of the scheme in order to arrive at the development objectives.
The minister said that though many challenges have bedeviled the system, it still helps many farmers increase their productivity through improvement of seeds and fertilisers supply.
"Agricultural subsidies have contributed to higher production of crops by adopting improved seeds and fertilisers but the misuse of vouchers needs to be addressed," he stressed.
Speaking at the ceremony, Permanent Secretary at the Ministry of Finance, Dr Servacius Likwelile said most of the recommendations at the meeting were related to the need for the government to reduce tax exemptions.
Dr Likwelile said regarding the agricultural inputs voucher scheme, the government will sensitise farmers on how to reduce loss of revenue through agents.
The Public Expenditure Review annual consultative meeting was attended by senior government officials, development partners, members of the civil society and multilateral financiers who discussed priorities in the next government budget.