Tanzania, United Republic of

The corporate financial reporting framework in Tanzania is principally set out in the Companies Act, 2002. The Act requires companies to prepare annual financial statements, including, as applicable, individual and group accounts, that give a true and fair view and comply with requirements prescribed by regulations issued by the Minister, the National Board of Accountants and Auditors (NBAA), or another body designated by the Minister, having regard to generally accepted principles of accounting. The Act defines generally accepted principles of accounting by reference to practices, principles, guidelines, and accounting and auditing standards issued by the NBAA. The directors are required to lay annual accounts before the company and deliver them to the Registrar within the statutory deadlines.

The NBAA, established under the Accountants and Auditors (Registration) Act, Cap. 286, as amended in 2021, operates under the ministry responsible for finance and is empowered to set and maintain standards for accountancy practice in Tanzania. The 2021 amendments modernized the legal framework, including by expanding the Board’s regulatory functions and defining standards to include financial reporting, auditing, ethical, educational, and other standards issued by the Board. The amended Act also introduced the concept of a public interest entity as a reporting entity with characteristics prescribed by the Board.

Accounting Framework

Tanzania has adopted IFRS Accounting Standards as issued by the International Accounting Standards Board and the IFRS for SMEs Accounting Standard without modification. The IFRS Foundation’s jurisdiction profile for Tanzania states that the jurisdiction has adopted both full IFRS Accounting Standards and the IFRS for SMEs Accounting Standard. In practice, the NBAA continues to issue technical pronouncements and updates in support of implementation. In addition, Tanzania Financial Reporting Standard No. 1, revised in 2020 and effective from 1 January 2021, introduced national reporting requirements relating to the report by those charged with governance that accompany the financial statements.

The Companies Act, 2002 permits differentiated reporting requirements for certain categories of entities, including private companies exempt from audit and other specified entities. Based on the IFRS Foundation profile, small and medium-sized entities with total assets not more than Tanzania Shillings 800 million are permitted to apply the IFRS for SMEs Accounting Standard; alternatively, they may apply full IFRS Accounting Standards. Publicly accountable entities are required to apply full IFRS Accounting Standards.

Auditing Framework

The Companies Act, 2002 requires companies to appoint auditors, subject to an exemption for qualifying private companies. The qualifying conditions for exemption are based on turnover and gross assets as specified in regulations prescribed by the Minister. Shareholders meeting the statutory threshold may nevertheless require an audit of an otherwise exempt private company.

The NBAA is the auditing standard-setter in Tanzania under the Accountants and Auditors (Registration) Act. The Board’s framework continues to require the application of international auditing standards adopted by the NBAA, and its current technical updates indicate an ongoing process for disseminating revisions and implementation guidance. In addition, following the 2021 amendments to the Act, external auditors are now required to submit audited financial statements through the NBAA Verification Number system, which became operational on a phased basis beginning in July 2025.

The accountancy profession in Tanzania is regulated by the National Board of Accountants and Auditors (NBAA) under the Accountants and Auditors (Registration) Act, Cap. 286, as amended, and the related Registration and Practising By-Laws. The NBAA operates under the ministry responsible for finance and is mandated to regulate the activities and conduct of accountants and auditors in the jurisdiction. Its functions include establishing initial and continuing professional development requirements, setting ethical, accounting, and auditing standards, conducting examinations and issuing professional qualifications, maintaining registers of members and firms, operating quality assurance and investigative and disciplinary systems, and evaluating foreign qualifications.

Under the current framework, the NBAA maintains categories of registration for Certified Public Accountants in Public Practice, Certified Public Accountants, Graduate Accountants, and Accounting Technicians, as well as registers for audit and accounting firms. Individuals seeking registration are required to meet the educational, examination, and practical experience requirements prescribed by the Board.

The NBAA administers its own professional qualification pathway, including technician and professional examinations. The professional qualification comprises Foundation, Intermediate, and Final levels, while a separate Accounting Technician pathway is also available. Candidates may enter the professional pathway through several routes, including relevant diplomas, university degrees, or the NBAA’s Accounting Technician qualification, subject to the Board’s entry requirements.

Upon successful completion of the Certified Public Accountant examinations, individuals may be registered as Graduate Accountants. Registration in higher membership categories, including Associate Certified Public Accountant and Certified Public Accountant in Public Practice, requires completion of a minimum of three years of relevant post-qualification practical experience and compliance with the Board’s registration and continuing professional development requirements. Individuals seeking to offer public accountancy and statutory audit services must additionally obtain a certificate of practice and be registered in the appropriate practising category.

The Accounting Technician category remains part of the regulatory framework. Candidates may enter this pathway from secondary or post-secondary education routes and, upon successful completion of the relevant examinations and practical experience requirements, may register as Accounting Technicians and become subject to the NBAA’s continuing professional development and ethical requirements.

The NBAA is also responsible for evaluating foreign professional accountancy qualifications for purposes of recognition, registration, and exemptions, in accordance with the applicable by-laws and Board procedures.

There is no independent public audit oversight authority in Tanzania for the regulation of private sector statutory auditors.

Auditors are regulated by the National Board of Accountants and Auditors (NBAA), established under the Accountants and Auditors (Registration) Act, Cap. 286, as amended, and operating under the supervision of the ministry responsible for finance. The NBAA is the statutory body responsible for the registration, regulation, and oversight of auditors and audit firms in the jurisdiction.

Under its statutory mandate, the NBAA is responsible for maintaining the register of Certified Public Accountants in Public Practice and practising firms, regulating their professional conduct and activities, establishing auditing and ethical standards, conducting quality assurance reviews, and operating investigative and disciplinary mechanisms. The Board also sets education, examination, registration, and continuing professional development requirements for auditors.

Membership and registration with the NBAA are mandatory for individuals and firms wishing to provide statutory audit services in Tanzania. Individuals must be registered as Certified Public Accountants in Public Practice and hold a valid certificate of practice issued by the Board. In addition, audit firms are required to be separately registered with the NBAA and are subject to its quality assurance and disciplinary framework.

For certain regulated sectors, additional oversight arrangements apply. For example, external auditors of banks and financial institutions must also be approved by the Bank of Tanzania in accordance with sector-specific regulations.

It should be noted that the National Audit Office of Tanzania and the Controller and Auditor General exercise independent oversight in respect of public sector audits only and do not serve as the oversight authority for private sector statutory auditors

The National Board of Accountants and Auditors (NBAA)

The National Board of Accountants and Auditors was established under the Accountants and Auditors (Registration) Act, Cap. 286, as amended, and operates under the supervision of the ministry responsible for finance. The NBAA is the statutory body responsible for regulating the accountancy profession in Tanzania.

The Board is mandated to regulate the activities and conduct of accountants and auditors, including establishing initial and continuing professional development requirements, setting ethical, accounting, and auditing standards, conducting professional examinations and awarding qualifications, maintaining registers of members and practising firms, and operating quality assurance as well as investigative and disciplinary systems. In addition, the NBAA is responsible for evaluating foreign professional accountancy qualifications and prescribing requirements for registration and practice.

Membership with the NBAA is mandatory for individuals wishing to offer public accountancy and statutory audit services in Tanzania. Individuals must be registered in the appropriate practising category and hold a valid certificate of practice issued by the Board. Accounting Technicians may register with the NBAA and, if registered, are subject to its regulatory framework, including continuing professional development and ethical requirements.

The NBAA is a Member of the International Federation of Accountants and a founding member of the Pan African Federation of Accountants.

The Accountants and Auditors (Registration) Act, Cap. 286, as amended, authorizes the National Board of Accountants and Auditors (NBAA) to establish and operate a quality assurance (QA) review system for all mandatory audits in Tanzania.

The NBAA operationalized its QA review system in 2005 and continues to conduct practice reviews of audit firms and engagement files through its Audit Quality Review function. Audit firms performing public interest entity engagements are subject to periodic inspections, while other audit engagements are reviewed through a sample-based file inspection process. The system is operational and applies to all firms registered to perform statutory audits.

The NBAA’s quality assurance framework has transitioned from the former International Standard on Quality Control 1 to the International Standards on Quality Management (ISQM 1 and ISQM 2), in line with the standards issued by the International Auditing and Assurance Standards Board and effective from 15 December 2022. Current NBAA technical seminars and implementation activities explicitly reference the adoption and implementation of ISQM 1 and ISQM 2 for audit firms in Tanzania.

Based on the available evidence, the quality assurance review system is operational and aligned with the requirements of SMO 1, including the applicable quality management standards.

Current Status: Adopted

The Accountants and Auditors (Registration) Act, Cap. 286, as amended, empowers the National Board of Accountants and Auditors (NBAA) to regulate the activities and conduct of professional accountants in Tanzania, including establishing initial and continuing professional development requirements, conducting examinations, prescribing practical experience requirements, and maintaining the register of professional accountants.

The NBAA administers the national accountancy qualification framework through both Accounting Technician and professional examination pathways. The professional qualification comprises Foundation, Intermediate, and Final levels leading to the Certified Public Accountant qualification, while a separate Accounting Technician qualification is also available. The syllabi currently in use are learning-outcome based and supported by study guides, case studies, and structured examination requirements.

Upon successful completion of the Certified Public Accountant examinations, individuals may be registered as Graduate Accountants. Registration as an Associate Certified Public Accountant or Certified Public Accountant in Public Practice requires completion of a minimum of three years of relevant post-qualification practical experience, supported by practical experience logbooks and supervision requirements. Candidates seeking to offer audit services must additionally meet the public practice registration requirements prescribed by the Board.

The Accounting Technician pathway remains part of the qualification framework and includes defined entry requirements, examinations, and practical experience requirements prior to registration.

The NBAA states that its professional education requirements are aligned with the latest International Education Standards and confirms that the revised syllabi for both the professional and technician pathways became effective in 2019 and continue to be maintained through ongoing updates.

Continuing professional development requirements are also established by the NBAA. Certified Public Accountants and practitioners are required to complete 40 hours of continuing professional development annually, while Accounting Technicians must complete 20 hours annually. The Board issues formal CPD guidelines and monitors compliance through annual returns and membership oversight processes.

Based on the available legal framework and the Board’s established education, practical experience, assessment, and continuing professional development requirements, the International Education Standards are assessed as adopted for all aspiring and professional accountants regulated by the NBAA.

Current Status: Adopted

The Accountants and Auditors (Registration) Act, Cap. 286, as amended, establishes the National Board of Accountants and Auditors (NBAA) as the auditing standard-setter in Tanzania.

In 2004, the NBAA adopted International Standards on Auditing (ISA) without modification for application in all mandatory audits in Tanzania. Since the initial adoption, the NBAA has maintained an established process to adopt all subsequent revisions and new standards issued by the International Auditing and Assurance Standards Board without modification and including effective date.

The NBAA continues to issue technical updates and implementation guidance to members and other stakeholders on developments relating to ISA, including quarterly technical updates and mandatory seminars for audit firms. Current technical resources published by the NBAA explicitly include International Standards on Auditing as part of the standards framework applicable in the jurisdiction.

Based on the available evidence, ISA in effect as of the time of the assessment, including the standards contained in the 2025 Handbook, are adopted and required to be applied in all mandatory audits in Tanzania.

Current Status: Adopted

The Accountants and Auditors (Registration) Act, Cap. 286, as amended, authorizes the National Board of Accountants and Auditors (NBAA) to establish ethical requirements for all professional accountants in Tanzania.

The NBAA reports that it has adopted the International Code of Ethics for Professional Accountants (including International Independence Standards) issued by the International Ethics Standards Board for Accountants without modification, and that all revisions to the Code are automatically adopted and become applicable in Tanzania in line with their effective dates.

The NBAA continues to support implementation of the Code through incorporation of ethical requirements into its initial and continuing professional development frameworks, final assessments, and mandatory continuing professional development seminars. Ethical requirements are also disseminated through the Board’s technical updates, journals, and stakeholder engagement forums.

Recent technical updates published by the NBAA explicitly reference the revisions to the Code approved by the IESBA in December 2024, including technology-related and group audit ethics revisions, indicating that the Board continues to maintain alignment with the latest version of the Code.

Based on the available evidence, the International Code of Ethics for Professional Accountants (including International Independence Standards) in effect as of the time of the assessment, including the 2025 Handbook, is adopted for all professional accountants in Tanzania.

Current Status: Adopted

The Government of Tanzania is responsible for establishing public sector accounting standards and financial reporting requirements for central and local government entities.

Tanzania adopted International Public Sector Accounting Standards (IPSAS) in 2004 for application across both central and local governments. Local Government Authorities began preparing accrual-basis IPSAS financial statements from 2008, while the central government transitioned from cash-basis reporting to accrual-basis IPSAS for the year ended 30 June 2013.

The Office of the Accountant General subsequently prepared the first whole-of-government consolidated financial statements for Tanzania Mainland on an accrual basis. Public sector entities continue to apply accrual-basis IPSAS, while government business enterprises apply IFRS as appropriate.

Recent public reporting and regional public financial management sources continue to identify Tanzania as a jurisdiction applying IPSAS-based accrual reporting across the public sector.

Current Status: Adopted

Under the Accountants and Auditors (Registration) Act, Cap. 286, as amended, the National Board of Accountants and Auditors (NBAA) is responsible for establishing and operating an investigative and disciplinary (I&D) system for all professional accountants and firms registered in Tanzania.

The legal framework provides the NBAA with authority to investigate complaints, initiate disciplinary proceedings, impose sanctions, and remove or suspend individuals and firms from the register where misconduct or non-compliance is identified. The system applies to accountants, auditors, accounting technicians, and practising firms registered with the Board.

The Board operates dedicated committees to oversee ethics, compliance, investigation, and disciplinary matters. The current framework includes procedures for receipt and investigation of complaints, disciplinary hearings, sanctions, and appeals, and allows for the participation of non-accountants in committee processes to strengthen independence and public interest oversight.

The investigative and disciplinary system is also linked to the quality assurance review process, whereby findings arising from practice reviews may lead to disciplinary action where appropriate.

Based on the amendments to the Act and the operational procedures currently in place, the investigative and disciplinary system is established and operational for all professional accountants regulated by the NBAA and is assessed as aligned with the requirements of SMO 6.

Current Status: Adopted

The Companies Act, 2002 requires companies in Tanzania to prepare financial statements in compliance with regulations prescribed by the ministry responsible for finance or the National Board of Accountants and Auditors (NBAA).

Tanzania adopted IFRS Accounting Standards in full in 2004 through a technical pronouncement issued by the NBAA. The pronouncement also provides that all future standards, amendments, and interpretations issued by the International Accounting Standards Board are automatically adopted and become effective in Tanzania as and when issued.

All domestic companies whose debt or equity securities are publicly traded in Tanzania are required to apply IFRS Accounting Standards in their consolidated and separate financial statements. The same requirement applies to foreign companies whose securities are publicly traded in the jurisdiction.

For entities whose securities are not publicly traded, full IFRS Accounting Standards are permitted. In addition, Tanzania has adopted the IFRS for SMEs Accounting Standard without modification. Small and medium-sized entities with total assets not exceeding Tanzania Shillings 800 million are permitted to apply the IFRS for SMEs Accounting Standard, although they may also elect to use full IFRS Accounting Standards.

IFRS Accounting Standards have the force of law in Tanzania through incorporation into the regulatory frameworks of the NBAA, the Bank of Tanzania, the Tanzania Insurance Regulatory Authority, the Dar es Salaam Stock Exchange, and the Capital Markets and Securities Authority. No modifications have been made to IFRS Accounting Standards, and IFRS continues to constitute the jurisdiction’s generally accepted accounting framework.

Current Status: Adopted

Relevant Organizations

• Ministry of Finance, United Republic of Tanzania
• National Board of Accountants and Auditors (NBAA)

Relevant Legislation

• Accountants and Auditors (Registration) Act, Cap. 286, as amended (including 2021 amendments)
• Companies Act, 2002 (Act No. 12 of 2002)
• NBAA (Membership and Registration) By-Laws, 2023
• NBAA Practising By-Laws, 2017

Relevant Publications

• ACCA, “Tanzania leads the move to IPSAS adoption”
• Deloitte IAS Plus, Financial Reporting Framework in Tanzania
• IFRS Foundation, “IFRS Application Around the World – Jurisdictional Profile: Tanzania”
• NBAA Frequently Asked Questions
• Practical Implementation Experience of IPSAS Accrual Basis – Tanzania Case (presentation)
• World Bank, Report on the Observance of Standards and Codes (ROSC): Tanzania, 2005
• NBAA SMO Action Plan, 2020