By Joshua Niyonshima
The URA team conducted enforcement activities on business persons in possession of un stamped gazetted goods. During the field visits, 3 non-compliant taxpayers were nabbed that is; the culprits of the enforcement are Gerald Mayigo of Muvugga Gali, Rodgers Bukenya of Embandullle and endeku, and Juko Ernest of Muno flavored and Cyamuka gin.
According to the Manager Digital Tracking Solutions Robert Amanya, the operations followed a tipoff on irregular activities at Muvugga Gali Investments SMC ltd premises in Masaka. At the premises, it was discovered that 19,533 cartons of Muvugga Gali gin were packed and fully packaged in boxes ready for sale. The place was later sealed up and an assessment of UGX 279,818,267 was raised which he had to pay before his premises are opened.
Amanya explained that Mayiggo Gerald is a habitual offender who has severally been caught selling and distributing unstamped gazetted products. He was cautioned and agreed to register for Local Excise duty and also stamp his products. The same is said of his counterpart Muvugga Ggaali who has insistently sold un stamped products.
However, Ibrahim Bbossa, the URA Spokesperson disclosed that the Digital tax solution is an initiative by URA to mobilize domestic tax revenue. It tracks and traces products through stamping. DTS is affixed on each product gazetted.
He said that goods currently liable for DTS are, beer, wines, spirits, soda, water, cigarettes, sugar, cement, juice, cooking oil, alcoholic Kombucha, alcoholic beverages, non-alcoholic kombucha, and fermented beverages.
He warned manufacturers about the punitive nature of the law sighting that once one is caught in the act of distributing or selling unstamped products, a fine of Ugx 50,000,000/- is dealt or jail time upon conviction.
“Whereas URA has adopted new ways of taxpayer education and engagement to foster voluntary compliance, individuals like Muvugga even after several engagements and penalties have continued to undermine the efforts of revenue generation for Uganda’s economic independence and have to face the law and pay their fair share of tax”, remarked Bbossa.
URA continues to execute focused operations against flouting DTS protocol across the country.