The Federal Tax Appeals Commission is preparing to open regional branch offices next year in the Amhara, Oromia, and Sidama regional states, a move hoped to ease the long-standing logistical and financial burdens taxpayers face when contesting tax and customs assessments.

Mulugeta Ayalew, president of the Commission, announced the initiative during a press conference held on May 15, 2025, at the Commission’s headquarters in Alsam Cheleleke Tower on Chad Street. The announcement marks a major operational shift for the quasi-judicial body, which was established under the Federal Tax Appeal Tribunal Establishment Proclamation of 2001.

Designed to serve as the primary platform for tax and customs disputes, the Commission currently operates solely from the capital. However, under the law, it is mandated to expand nationally, an option now being exercised, albeit two decades late.

Taxpayers outside Addis Abeba have long decried the arduous journey to pursue their appeals, often incurring prohibitive travel and accommodation costs, compounded by procedural opacity and repeated delays.

A corn and sesame farmer from near Bahir Dar, in Amhara Regional State, who requested anonymity, recounted spending over 100,000 Br on multiple trips to the capital to dispute a tax assessment. Another taxpayer, Haymanot Tafere, a poultry farmer based in Hawassa, has made nine trips to Addis Abeba since initiating her appeal four months ago, each trip costing her over 3,500 Br in travel and lodging, excluding income lost from business disruption.

“The local federal tax appeal office in Hawassa would dramatically streamline the process,” she told Fortune, voicing frustration over unclear documentation requirements and a lack of administrative guidance.

In the third quarter of the current fiscal year, the Commission received 818 new appeals, bringing its case load to 1,144. It decided on 686 cases, 210 involving revenue disputes totalling 1.79 billion Br and 476 customs-related cases amounting to 1.8 billion Br. Together, they represent 3.59 billion Br in contested tax liabilities.

While 691 cases were heard during the quarter, 458 cases remained unresolved, and 356 were escalated to the High Court.