Uganda Revenue Authority (URA) Commissioner General, John R. Musinguzi, recently appeared on the Kalisoliso breakfast show, urging taxpayers to take advantage of the ongoing tax waiver before its deadline on December 31, 2024. Under this waiver, taxpayers are required to pay only the principal tax amount, without interests and penalties.
Musinguzi highlighted that if payments are made promptly, this could raise about UGX 2 trillion out of the estimated UGX 4 trillion demand from taxpayers. This, he noted, would contribute to a fairer tax system and improved financial stability for the country. “Often, it’s the penalties that drive up tax costs,” Musinguzi explained, emphasising the significance of making timely payments. “Our projections show that we could generate around UGX 2 trillion if taxpayers settle their principal taxes."
The Commissioner General also addressed the issue of heavy taxes on imported cars, specifically the environmental tax. He explained that vehicles over nine years old are subject to an environmental tax exceeding 50%, designed to encourage the import of newer, more environmentally friendly vehicles. “Vehicles over nine years attract an environmental tax that can surpass 50%,” Musinguzi noted. He advised importers to consider this when making purchasing decisions to avoid unforeseen costs, as the tax is part of efforts to support a sustainable future.
Musinguzi’s radio appearance is part of his broader strategy to enhance tax education by leveraging media platforms to reach all audiences within Uganda's taxpaying community.
