The government will soon start collecting taxes from your inheritance or wealth after a proposal by the Uganda Revenue Authority-=URA to introduce a new avenue of widening the Domestic revenue base. Uganda Revenue Authority wants to initiate a tax on inheritance and excessive wealth to help bounce back the economy from the ruins of COVID-19. While […]
The government will soon start collecting taxes from your inheritance or wealth after a proposal by the Uganda Revenue Authority-=URA to introduce a new avenue of widening the Domestic revenue base.
Uganda Revenue Authority wants to initiate a tax on inheritance and excessive wealth to help bounce back the economy from the ruins of COVID-19.
While interfacing with the National Economy Committee of Parliament which to examine the effects of COVID-19 on businesses, the URA Commissioner General John Musinguzi announced the proposal.
Musinguzi said the wealth tax, widen the tax collection and discrimination of wealth in the country whereas inheritance tax also targets largely the wealthy.
Musinguzi, however, said the revenue collection body would be challenged with tax evaders but they would start with persons acknowledged to be wealthy.
Musinguzi says the effects of COVID-19 have been that the economically affected the poor and small and medium-SMEs which are already overburdened.
Another proposal to raise revenue is a tax on loan interests and the reintroduction of the withholding tax on Agriculture trader’s supplies.
URA is also proposing a tax policy package for the digital economy looking at the fact that most businesses have now gone online.
URA’s collections for the six months from July to December 2019 fell short of the target by at least 697.4 billion Shillings with only 9 trillion Shillings being collected from July against the target of 9.7 trillion Shillings.
