United Republic of Tanzania 1977 Constitution (reviewed 2005)

CHAPTER 7. PROVISIONS REGARDING THE FINANCES OF THE UNITED REPUBLIC

PART I. CONTRIBUTION AND ALLOCATION OF THE REVENUE OF THE UNITED REPUBLIC

133. Joint Finance Account

The Government of the United Republic shall maintain a special account to be known as “the Joint Finance Account”, and which shall form part of the Consolidated Fund of the United Republic into which shall be paid all the moneys contributed by the two Governments in such proportions as shall be determined by the Joint Finance Commission in accordance with a law enacted by Parliament for the purposes of the business of the United Republic in relation to Union Matters.

134. Joint Finance Commission

1. There is hereby established a Joint Finance Commission consisting of not more than seven members who shall be appointed by the President in accordance with this Article and the provisions of a law enacted by Parliament.
2. The functions of the Commission shall be—
   1. to analyze the revenue and expenditure arising from, or relating to the management of affairs concerning Union Matters, and to make recommendations to the two Governments concerning the contribution by, and the allocation to, each of the Governments;
   2. to keep under constant scrutiny the fiscal system of the United Republic and also the relations between the two Governments in relation to financial matters;
   3. to discharge other functions which the President shall assign to the Commission or as the President may direct, and in accordance with a law enacted by Parliament.

PART II. THE CONSOLIDATED FUND AND THE FINANCES OF THE UNITED REPUBLIC

135. Consolidated Fund of the Government of the United Republic

1. All revenue derived from various sources for the use of the Government of the United Republic, except for the type of revenue specified in subarticle (2) of this Article, shall be paid into one special fund to be known as the Consolidated Fund of the Government of the United Republic.
2. The revenue which shall not be paid into the Consolidated Fund of the Government of the United Republic is that which has been specified by law to be used for a specified purpose or to be paid into another fund for special use.

136. Conditions for withdrawal of moneys from Consolidated Fund

1. Moneys shall not be paid out of the Consolidated Fund of the Government of the United Republic for expenditure Consolidated save in accordance with the following terms:
   1. such money should be for the purpose of expenditure which has been authorised to be charged upon the Consolidated Fund of the Government of the United Republic by this Constitution or by any other law; or
   2. such money is for expenditure which has been authorized either by Appropriation Act enacted by Parliament for that purpose or a law enacted by Parliament in accordance with the provisions of Article 140 of this Constitution.
2. Moneys in any special fund of the Government other than the Consolidated Fund of the Government of the United Republic shall not be paid out for expenditure unless and until such expenditure has been authorized by law.
3. Moneys in the Consolidated Fund of the Government of the United Republic shall not be paid out of that Fund for the purpose of expenditure unless and until such expenditure has been approved by the Controller and Auditor-General, and also on condition that such money shall have been paid out in accordance with a procedure prescribed for that purpose pursuant to a law enacted by Parliament.

137. Procedure for authorization of expenditure in advance of appropriation

1. The President shall give directions to persons concerned to prepare and submit to the National Assembly in each Government financial year estimates of the revenue and expenditure of the Government of the United Republic for the next financial year.
2. After the National Assembly has approved the estimates of expenditure (apart from the expenditure charged on the Consolidated Fund by this Constitution or by any other law) a Bill to be known as an Appropriation Bill shall be introduced into the National Assembly for the purpose of authorising the issue from the Consolidated Fund of the sums necessary to meet the expenditure for the various activities of the Government involved in those estimates.
3. Where in any financial year it is found that—
   1. the amount of money appropriated by the Appropriation Act for a certain purpose is insufficient or it has been necessary to incur expenditure in respect of an activity for which no amount has been appropriated under the Act; or
   2. money has been expended for a certain purpose in excess of the amount appropriated for it by the Appropriation Act or that money has been expended for a purpose for which no amount was appropriated under the Act,

   there shall be presented before the National Assembly a supplementary estimate or, as the case may be, a statement of excess, and after the National Assembly has approved the supplementary estimate or the statement of excess there shall be introduced into the National Assembly a supplementary Appropriation Bill for the purpose of authorising the issue of funds from the Consolidated Fund of the Government of the United Republic, and such moneys shall be used to meet the cost of the activities involved in the supplementary estimates or statement of excess.

138. Conditions of taxation

1. No tax of any kind shall be imposed save in accordance with a law enacted by Parliament or pursuant to a procedure lawfully prescribed and having the force of law by virtue of a law enacted by Parliament.
2. The provisions contained in subarticle (1) of this Article shall not preclude the House of Representatives of Zanzibar from exercising its power to impose tax of any kind in accordance with the authority of that House.

139. Procedure for authorizing expenditure out of Consolidated Fund

1. Parliament may enact a law providing for the authorization of expenditure of moneys from the Consolidated Fund of the Government of the United Republic in accordance with a procedure prescribed in subarticle (2) of this Article.
2. Where the financial year of the Government has begun and the Appropriation Act in relation to that year has not come into operation, then the President may authorise the issue of moneys from the Consolidated Fund of the Government of the United Republic for the purposes of meeting the expenses of essential business of the Government, and such moneys shall be expended until the expiration of four months from the beginning of the financial year, or until the Appropriation Act comes into operation, whichever occurs earlier.

140. Contingencies Fund and virement

1. Parliament may enact a law providing for the following:
   1. the establishment of a Contingencies Fund and authorizing the President or a Minister appointed by the President in that behalf to borrow money from that Fund to meet the costs of an urgent and unforeseen need for which no funds had been provided; and
   2. authorizing the President or a Minister appointed by the President in that behalf to apply money specifically appropriated for certain business to meet the costs of an urgent and unforeseen need as referred to in paragraph (a) of this subarticle.
2. Where money has been borrowed from the Contingencies Fund, or money specifically appropriated for a certain purpose is applied to meet the costs of an urgent and unforeseen need, then there shall be presented before the National Assembly supplementary estimates, and after the National Assembly has approved the supplementary estimates, a supplementary Appropriation Bill which shall be introduced into the National Assembly for the purpose of authorising such additional expenditure shall ensure that any moneys borrowed from the Contingencies Fund shall be reimbursed from the moneys the expenditure of which shall be authorised by that Bill.

141. Public Debt

1. The public debt of the United shall be secured on the Consolidated Fund of the Government of the United Republic.
2. For the purposes of interpretation of this Article, “the public debt” means the debt itself and also the interest charged on it, sinking fund payments in respect of that debt and the costs, charges and expenses incidental to the management of that debt.

142. Remuneration of certain holders of public offices to be a charge on Consolidated Fund

1. Holders of public office to whom the provisions of this Article apply shall be paid salaries and allowances as shall be prescribed by a law enacted by a Parliament.
2. The moneys for the salaries and allowances payable to the holders of offices to whom the provisions of this Article apply together with pension and gratuity for those entitled to such payments shall be a charge on the Consolidated Fund of the Government of the United Republic.
3. The salary payable to the holder of a public office to whom the provisions of this Article apply together with his terms and conditions of service shall not be varied in a manner which is less beneficial to him, but these provisions shall not apply to allowances payable to the holder of such office.
4. Where the holder of a public office to whom the provisions of this Article apply has the option to choose the salary or the terms and conditions of service, then for the purpose of construing the provisions of subarticle (3) of this Article, the salary, the terms and conditions of service which he chooses shall be deemed to be more beneficial to him than any other salary or terms and conditions of service which he could have opted for.
5. The provisions of this Article shall apply to a Justice of the Court of Appeal, a Judge of the High Court of the United Republic, the Chairman and every member of the Permanent Commission of Enquiry and the Controller and Auditor General of the Government of the United Republic.

143. Controller and Auditor General of the United Republic

1. There shall be a Controller and Auditor-General of the United Republic.
2. The Controller and Auditor-General shall have the responsibility over the following matters:
   1. to ensure that the use of any moneys proposed to be paid out of the Consolidated Fund has been authorized and that the funds shall be paid out in accordance with the provisions of Article 136 of this Constitution, and where the is satisfied that those provisions shall be duly complied with, then he shall authorize payment of such moneys.
   2. to ensure that all the moneys the payment of which has been authorized to be charged on the Consolidated Fund of the Government of the United Republic, or the moneys the use of which has been authorised by a law enacted by Parliament and which have been spent, have been applied to the purposes connected with the use of such moneys and that such expenditure has been incurred in accordance with the authorization for such expenditure; and
   3. at least once every year to audit and give an audit report in respect of the accounts of the Government of the United Republic, the accounts managed by all officers of the Government of the United Republic and the accounts of all courts of the United Republic and the accounts managed by the Clerk of the National Assembly.
3. The Controller and Auditor-General and every employee of the Government who is authorised by him shall have the right to examine books records, statements of account, reports and all other documents concerning any type of account referred to in subarticle (2) of this Article.
4. The Controller and Auditor-General shall submit to the President every report he makes pursuant to the provisions of subarticle (2) of this Article. Upon receipt of such report the President shall direct the persons concerned to submit that report before the first sitting of the National Assembly which shall be held after the President has received the report and it shall have to be submitted to such sitting before the expiration of seven days from the day the sitting of the National Assembly began. If the President does not take steps of submitting such report to the National Assembly, then the Controller and Auditor-General shall submit the report to the Speaker of the National Assembly (or the Deputy Speaker if the office of the Speaker is vacant then, or if for any reason the Speaker is unable to perform the functions of his office) who shall submit the report to the National Assembly.
5. The Controller and Auditor-General shall also have responsibility of discharging other duties and functions, and shall have other various powers as shall be specified by the law concerning the accounts of the Government of the United Republic or the accounts of other public authorities or other bodies.
6. In the discharge of his functions in accordance with the provisions of subarticles (2), (3) and (4) of this Article, the Controller and Auditor-General shall not be obliged to comply with the order or direction of any other person or Government Department, but the provisions of this subarticle shall not preclude a court from exercising jurisdiction to enquire into whether the Controller and Auditor-General has discharged his functions in accordance with the provisions of this Constitution or not.

144. Removal from office of Controller and Auditor-General

1. Without prejudice to the other provisions of this Article, the Controller and Auditor-General of the United Republic shall be obliged to vacate office upon attaining the age of sixty or any other age which shall be prescribed by a law enacted by Parliament.
2. The Controller and Auditor-General may be removed from office only for inability to perform the functions of his office (either due to illness or to any other reason) or for misbehaviour, or for violating the provisions of the law concerning the ethics of public leaders and shall not be so removed except in accordance with the provisions of subarticle (4) of this article.
3. If the President considers that the question of the removal of the Controller and Auditor-General from office under the provisions of this Article needs to be investigated, then the procedure shall be as follows:
   1. the President shall appoint a Special Tribunal which shall consist of a Chairman and not less than two other members. The Chairman and at least half of the other members of that Special Tribunal shall be persons who are or have been Judges of the High Court or of the Court of Appeal in any country within the Commonwealth;
   2. the Special Tribunal shall investigate and submit a report to the President on this whole matter, and shall advise him whether or not the Controller and Auditor General should be removed from office in accordance with the provisions of this Article on the grounds of inability to perform his functions due to illness or any other reason or on grounds of misbehaviour.
4. If the Special Tribunal appointed in accordance with the provisions of subarticle (3) advises the President that the Controller and Auditor-General be removed from office on grounds of inability to perform functions of his office due to illness or any other reason or on grounds of misbehaviour, then the President shall remove him from office.
5. If the question of removing the Controller and Auditor-General has been referred to a Special Tribunal for investigation pursuant to the provisions of this Article, the President may suspend the Controller and Auditor-General from office, and the President may at any time rescind the decision to suspend the Controller and Auditor-General and in any case such decision shall lapse if the Special Tribunal advises the President that the Controller and Auditor-General be not removed from office.
6. A person who holds or who has held the office of Controller and Auditor-General shall not be appointed to, or act in, any other office in the service of the Government of the United Republic.
7. The provisions of this Article shall not apply to any person appointed acting Controller and Auditor-General.