Overview
Below are 50 Academic officer II written interview questions and answers for the Tanzania Revenue Authority (TRA). These include multiple-choice questions (MCQs) covering a range of topics relevant to the position:
Academic Officer II | TRA Possible Questions and Answers
1. What is the main function of the Tanzania Revenue Authority (TRA)?
A) To collect taxes and revenue
B) To manage the national budget
C) To provide financial loans to businesses
D) To regulate public spending
Answer: A) To collect taxes and revenue
2. Which of the following is a major source of revenue for the Tanzania Revenue
Authority?
A) Tourism taxes
B) Income tax
C) International loans
D) Public contributions
Answer: B) Income tax
3. What is VAT (Value Added Tax) in Tanzania?
A) A tax on profits of corporations
B) A tax levied on goods and services
C) A tax on personal income
D) A tax imposed on importers
Answer: B) A tax levied on goods and services
4. The Tanzania Revenue Authority (TRA) operates under which ministry?
A) Ministry of Finance and Planning
B) Ministry of Foreign Affairs
C) Ministry of Internal Affairs
D) Ministry of Trade and Industry
Answer: A) Ministry of Finance and Planning
5. Which of the following best describes an “assessment” in the context of
taxation?
A) A review of tax returns
B) A process of determining a taxpayer’s liability
C) An audit of financial records
D) A payment made by the taxpayer
Answer: B) A process of determining a taxpayer’s liability
6. What does the term “Taxpayer Identification Number” (TIN) refer to?
A) A number used for financial planning
B) A number for tracking imported goods
C) A number issued to every registered taxpayer
D) A number for corporate accounting purposes
Answer: C) A number issued to every registered taxpayer
7. What is the tax rate for VAT in Tanzania as of the most recent guidelines?
A) 5%
B) 10%
C) 15%
D) 18%
Answer: D) 18%
8. Which tax system is employed by the Tanzania Revenue Authority to ensure
fair tax collection?
A) Progressive tax system
B) Flat tax system
C) Regressive tax system
D) Lump sum tax system
Answer: A) Progressive tax system
9. What is the key function of the Customs Department of TRA?
A) Collecting income tax
B) Handling the import and export of goods
C) Managing public debts
D) Distributing public grants
Answer: B) Handling the import and export of goods
10. What type of tax is the income tax in Tanzania?
A) Direct tax
B) Indirect tax
C) Regressive tax
D) Value-added tax
Answer: A) Direct tax
11. Which of the following is an example of indirect taxation?
A) Income tax
B) Capital gains tax
C) Value-added tax
D) Corporate tax
Answer: C) Value-added tax
12. What document is issued by TRA to a taxpayer to indicate their taxable
income?
A) Tax certificate
B) Tax receipt
C) Tax assessment notice
D) Tax clearance certificate
Answer: C) Tax assessment notice
13. What is the primary goal of tax audits conducted by TRA?
A) To find fraudulent activities
B) To evaluate tax compliance
C) To assess corporate spending
D) To collect additional taxes
Answer: B) To evaluate tax compliance
14. What does the term “tax evasion” refer to?
A) The legal reduction of tax liability
B) Avoiding the payment of tax through illegal means
C) Paying taxes in installments
D) Delaying tax payments
Answer: B) Avoiding the payment of tax through illegal means
15. How often do taxpayers in Tanzania file VAT returns?
A) Annually
B) Quarterly
C) Monthly
D) Bi-annually
Answer: C) Monthly
16. Which of the following taxes is typically levied on companies?
A) Income tax
B) Withholding tax
C) Corporate tax
D) Stamp duty
Answer: C) Corporate tax
17. What is the purpose of a tax clearance certificate in Tanzania?
A) To allow tax refunds
B) To show that taxes have been paid and the taxpayer is compliant
C) To initiate a tax audit
D) To issue a new TIN
Answer: B) To show that taxes have been paid and the taxpayer is compliant
18. Which of the following is NOT a responsibility of an academic officer in
TRA?
A) Conducting tax research
B) Implementing tax policies
C) Monitoring tax compliance
D) Conducting public relations campaigns
Answer: D) Conducting public relations campaigns
19. What is “withholding tax” in Tanzania?
A) A tax withheld from an individual’s salary and paid directly to the tax authorities
B) A tax on imported goods
C) A tax on services rendered to clients
D) A tax on capital gains
Answer: A) A tax withheld from an individual’s salary and paid directly to the tax
authorities
20. What is the primary purpose of the Tanzania Revenue Authority (TRA)?
A) To collect taxes and ensure that the government’s revenue is maximized
B) To provide loans to small businesses
C) To offer financial support for infrastructure development
D) To organize elections
Answer: A) To collect taxes and ensure that the government’s revenue is maximized
21. What type of tax system is the corporate income tax in Tanzania?
A) Progressive tax
B) Flat tax
C) Regressive tax
D) Indirect tax
Answer: B) Flat tax
22. Which of the following is a duty of the TRA’s Audit Department?
A) Reviewing financial statements
B) Conducting investigations into tax fraud
C) Managing corporate accounts
D) Ensuring that VAT is paid
Answer: B) Conducting investigations into tax fraud
23. The TRA collects taxes for which of the following levels of government?
A) Local government only
B) National government only
C) Both national and local governments
D) Foreign governments
Answer: C) Both national and local governments
24. What is the main purpose of a tax refund in Tanzania?
A) To pay for government projects
B) To return overpaid taxes to the taxpayer
C) To settle government debts
D) To fund the public pension system
Answer: B) To return overpaid taxes to the taxpayer
25. Which of the following is NOT a direct tax?
A) Income tax
B) Corporate tax
C) Customs duties
D) Property tax
Answer: C) Customs duties
26. What is a tax audit?
A) A review of tax filings to ensure compliance with tax laws
B) A process where the TRA decides the rate of tax
C) The collection of overdue taxes
D) A request for tax exemption
Answer: A) A review of tax filings to ensure compliance with tax laws
27. How is the tax on imported goods calculated?
A) Based on the country of origin
B) According to the weight of the goods
C) Using the customs value of the goods
D) Based on the age of the goods
Answer: C) Using the customs value of the goods
28. What is “transfer pricing” in the context of taxation?
A) The pricing of goods between two companies located in different countries
B) The act of transferring tax liability to a foreign country
C) The transfer of money from the government to taxpayers
D) The tax on international investments
Answer: A) The pricing of goods between two companies located in different countries
29. In the context of taxation, what is “tax avoidance”?
A) The illegal evasion of tax payments
B) The use of legal methods to reduce tax liability
C) The payment of taxes earlier than required
D) The failure to pay taxes entirely
Answer: B) The use of legal methods to reduce tax liability
30. The VAT threshold for businesses to register in Tanzania is:
A) 100 million TZS
B) 200 million TZS
C) 300 million TZS
D) 400 million TZS
Answer: B) 200 million TZS
31. Which of the following is the key feature of a progressive tax system?
A) The tax rate decreases as income increases
B) The tax rate is constant for all income levels
C) The tax rate increases as income increases
D) The tax rate is based on the type of goods sold
Answer: C) The tax rate increases as income increases
32. What is a “tax gap”?
A) The difference between the amount of tax due and the amount collected
B) The amount of tax owed by a single taxpayer
C) The amount of tax paid by companies only
D) The time frame for tax payments
Answer: A) The difference between the amount of tax due and the amount collected
33. What document must a business submit to the Tanzania Revenue Authority
when requesting VAT exemption?
A) Tax clearance certificate
B) Business registration certificate
C) Exemption application form
D) VAT registration form
Answer: C) Exemption application form
34. What is the purpose of TRA’s “Revenue Administration Policy”?
A) To regulate local businesses
B) To standardize tax rates across all sectors
C) To ensure efficient tax collection and revenue management
D) To monitor foreign tax practices
Answer: C) To ensure efficient tax collection and revenue management
35. What is the importance of filing tax returns on time?
A) To avoid penalties and interest
B) To qualify for tax refunds
C) To gain tax exemptions
D) To receive a tax clearance certificate
Answer: A) To avoid penalties and interest
36. Which of the following is an example of a tax that is not paid directly by
consumers?
A) Sales tax
B) Excise tax
C) Corporate income tax
D) Value-added tax
Answer: C) Corporate income tax
37. What is “customs duty”?
A) A tax on the sale of property
B) A tax on imported goods
C) A tax on business profits
D) A tax on goods sold within the country
Answer: B) A tax on imported goods
38. What is the primary goal of tax incentives?
A) To increase government revenue
B) To reduce the tax burden on certain sectors
C) To penalize non-taxpayers
D) To ensure tax compliance
Answer: B) To reduce the tax burden on certain sectors
39. In the context of the Tanzania Revenue Authority, what does “tax
compliance” mean?
A) Paying taxes correctly and on time
B) Reducing tax rates
C) Delaying tax filings
D) Avoiding tax audits
Answer: A) Paying taxes correctly and on time
40. How does the TRA promote voluntary tax compliance?
A) Through tax incentives and awareness programs
B) By imposing high tax rates
C) By offering tax exemptions
D) Through political campaigns
Answer: A) Through tax incentives and awareness programs
41. What is “capital gains tax”?
A) A tax on the income of companies
B) A tax on the profit from the sale of assets
C) A tax on individual earnings
D) A tax on consumer spending
Answer: B) A tax on the profit from the sale of assets
42. What is the main benefit of tax reforms?
A) Increased tax rates
B) Simplified tax administration
C) Reduced tax collection efficiency
D) Higher penalties for non-compliance
Answer: B) Simplified tax administration
43. What does TRA stand for?
A) Tanzania Regulatory Authority
B) Tax Revenue Administration
C) Tanzania Revenue Authority
D) Taxpayer Relations Agency
Answer: C) Tanzania Revenue Authority
44. How is corporate tax calculated in Tanzania?
A) Based on profits
B) Based on revenue
C) Based on capital assets
D) Based on dividends paid
Answer: A) Based on profits
45. What is the VAT threshold for small businesses in Tanzania?
A) 10 million TZS
B) 30 million TZS
C) 50 million TZS
D) 100 million TZS
Answer: B) 30 million TZS
46. What is a tax audit primarily concerned with?
A) Ensuring that the taxpayer is financially stable
B) Verifying the accuracy of tax returns
C) Ensuring that government projects are funded
D) Analyzing national economic trends
Answer: B) Verifying the accuracy of tax returns
47. What is the role of TRA’s Legal Department?
A) To draft new tax laws
B) To ensure that taxes are collected
C) To provide legal representation in tax disputes
D) To manage tax filings
Answer: C) To provide legal representation in tax disputes
48. What is the role of TRA’s Policy and Planning Department?
A) To implement tax laws
B) To formulate tax policies and strategies
C) To collect taxes from large businesses
D) To monitor customs activities
Answer: B) To formulate tax policies and strategies
49. What is an example of a tax that is not progressive?
A) Income tax
B) Corporate tax
C) Property tax
D) Sales tax
Answer: D) Sales tax
50. What is the main purpose of tax incentives for foreign investors?
A) To encourage investment and economic growth
B) To increase government revenue
C) To simplify the tax code
D) To reduce public sector spending
Answer: A) To encourage investment and economic growth
Read Also: TRA Interview, Call For Interview
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