This research presents a detailed breakdown of the monthly actual and forecasted values for the Tanzania Revenues Authority (TRA) collections in the years 2023 and 2024, as predicted by the TICGL Macro econometric model. In 2023, TRA successfully collected a total of TZS 25,541,805.00 trillion, with an average monthly collection of TZS 2 trillion.

Examining the monthly specifics for 2023, the revenue collection varied, with the highest monthly collection occurring in December at TZS 3,049,319.00 trillion, and the lowest in February at TZS 1,600,841.00 trillion. This variation reflects potential factors influencing tax revenue, such as economic activities, seasonal fluctuations, and specific tax deadlines.

Looking ahead to 2024, the TICGL model predicts a substantial increase in total collections, estimating a sum of TZS 36,533,297.97 trillion. This forecast suggests a positive outlook for TRA revenues in the coming year. The monthly projections for 2024 indicate an upward trend, with the highest anticipated collection in December at TZS 3,702,863.70 trillion.

Analyzing the month-to-month forecasts for 2024, it is evident that the TICGL model anticipates consistent growth, with monthly collections expected to rise gradually. Notably, September is projected to have the highest collection at TZS 3,521,656.07 trillion. This detailed breakdown provides insights into the expected revenue trends for each month, aiding in understanding the economic dynamics and potential challenges or opportunities that TRA may face in the specified period.

The forecasted revenue collection as projected by the TICGL Macro econometric model in 2024:

Tanzania Revenues Authority can enhance its chances of reaching the forecasted revenue collection as projected by the TICGL Macro econometric model in 2024.

Monitoring and Adjusting Tax Policies:

TRA should closely monitor the economic landscape and be flexible in adjusting tax policies to align with the changing conditions. This might involve periodic reviews and adjustments to tax rates, exemptions, and incentives to stimulate economic activities and boost tax revenues.

Enhancing Tax Compliance and Enforcement:

Strengthening efforts to improve tax compliance and enforcement is crucial. TRA could implement stricter measures to deter tax evasion, such as leveraging technology for better monitoring and enforcement, conducting regular audits, and imposing penalties for non-compliance.

Targeting Key Sectors:

Identifying and focusing on key sectors with high revenue potential can contribute significantly to achieving revenue targets. TRA may analyze which sectors are driving economic growth and adjust their approach to tax collection within those sectors.

Collaboration with Businesses and Stakeholders:

Building strong partnerships with businesses and other stakeholders can foster a cooperative environment. TRA can engage in regular dialogues with businesses, industry associations, and other stakeholders to understand their challenges and collaboratively develop strategies to meet revenue targets.

Investing in Technology:

Utilizing advanced technology for tax administration can streamline processes, reduce inefficiencies, and improve overall revenue collection. Automation, data analytics, and digital platforms can enhance the efficiency of tax assessments, collections, and reporting.

Public Awareness and Education:

TRA may invest in public awareness campaigns and education programs to inform taxpayers about their obligations, the benefits of tax compliance, and the consequences of non-compliance. Well-informed taxpayers are more likely to fulfill their obligations willingly.

Economic Growth Initiatives:

Collaborating with government agencies and policymakers to implement measures that stimulate economic growth can have a positive impact on tax revenues. A growing economy tends to result in increased business activities and higher taxable income.

Continuous Monitoring and Adjustment:

Regularly reviewing and adjusting strategies based on ongoing economic and tax collection trends is essential. TRA should remain agile and responsive to changes, refining its approach as necessary to meet or exceed revenue targets.