Taxing the urban boom in Tanzania: Interests, incentives and real estate in Dar
This study focuses on urban property taxation, which is considered to have a substantial unexploited revenue potential for the financing of public services to the fast growing urban population in Tanzania. At the same time as many towns and cities are booming economically, physically and demographically, municipal authorities face major challenges to cope with the fast-growing population. A growing number of urban residents live in areas characterised by deficient basic services such as housing, clean water, sanitation, refuse collection, roads, and transport. Many municipalities are financially weak and rely on financial transfers and assistance from the central government. Further, revenue collection administrations are often inefficient and there are indications that substantially amounts of revenues collected are inappropriately managed. The purpose of the study is to examine opportunities and constraints facing revenue mobilisation in urban settings, with a focus on municipal property taxation. The project will analyse political and administrative constraints facing revenue mobilisation and factors impacting on property owners' compliance behaviour.