Government defends tax imposed on construction materials From MASATO MASATO in Dodoma, 12th April 2011 @ 12:00, Total Comments: 0, Hits: 74 TAXES imposed on construction materials in the country are in line with respective taxation legislation, the National Assembly heard yesterday. According to the Deputy Minister for Finance and Economic Affairs, Mr Gregory Teu, made the explanation in response to a basic question by Mustafa Akunaay (Mbulu-CHADEMA), who had challenged to waive taxes on construction materials to enable Tanzanians with low incomes build modern houses. "It is the government objective to see all Tanzanians are in decent houses but taxes on construction materials are in line with taxation law," said the deputy minister. He added further that in a bid to ensure the 'wananchi' are having better lives, the government has been striving to subsidize health services, education, farm inputs, among others. Mr Teu elaborated that tax waivers are in accordance to various laws governing taxation such as the Value Added Tax (VAT) Act, Article 148 and the East African Community Custom Union Act. "Basically, tax waivers are extended to social and economic groups which benefit 'wananchi' in rural and urban areas," he said. He cited tax exemptions extended to non-governmental and faith-based organizations which provide services to the people as well as waivers to farm inputs which help farmers to increase yields.