By Kabahweza Allan Kamugisha, Media Management
Uganda Revenue Authority has destroyed 13,391 packages of assorted beverages, gins, kombucha and vodka, weighing over 56 tons, that were seized for not adhering to digital stamps laws. The destruction happened in Nakasongola on February, 21 2023, through crushing and incineration methods.
Presiding over the destruction exercise, URA’s Manager Public and Corporate Affairs, Robert Wamala Lumanyika explained that this particular consignment could not be auctioned as the case for other goods because they lacked digital tax stamps which are some of the requirements to certify that the products are good for consumption.
He cited the recent deaths registered in Arua District after consumption of a spirit called X-5, which had no digital tax stamps, saying it was such unfortunate incidents that people need to guard against.
Wamala noted that the cost of tax stamps ranges from as low as UGX 13 per bottle of bottled water to UGX 60,000 for a bulker of cement calling on the public to know that this is an allowed expenditure when one is accounting for their taxes. He therefore called on all manufacturers of DTS gazetted products to adhere to taxation laws for the development of Uganda.
Acting Manager DTS, Robert Amanya said that the destructed products, which included those affixed with fake digital stamps, had been kept in Nakawa for more than six months.
DTS was introduced on spirits and kombucha on 1st February 2022 and 1st May 2022 respectively.
Currently, 13 products have been gazetted for digital tax stamps and they include beer, spirits, fruit and vegetable juice, soda, wine, mineral water, cement, sugar, cooking oil, any other fermented beverages, any other alcoholic beverages, any other non-alcoholic beverages and tobacco products.
URA has tried to locate the manufacturers of these drinks but it is facing a challenge of culprits who keep changing their location and brands. The URA operations are aimed at controlling illicit trade and ability to conveniently verify and trace all specified goods throughout the distribution chain.
The destruction was witnessed by Andrew Monday Bakaine and Deus Mugasho, both DTS officers and Uganda People’s Defence Forces.
Thanks for all guidance, what happens when I deal in both standard rated product and zero rated product. For example I sell sanitary pads and weighing scale, do I need to also issue an e-invoice for the supply of Sanitary pads, which is zero rated?