By Kamugisha Kabahweza Allan
URA enforcement under the Special Revenue Project last week carried out an operation in Mid-Western Uganda to enforce the affixing of digital stamps on the gazetted products.
The team inspected shops and related businesses in Mubende, Kibaale, and Kyegegwa where 12,235 cartons of assorted alcoholic kombucha drinks that were unstamped, inactivated, and contraband were seized.
URA Ag. Manager DTS Bosco Tumwine explained that all the unstamped products were seized, premises sealed off and offense management is ongoing to penalize the culprits.
“We have sensitized manufacturers of all the gazetted products for DTS for some time, but some of them are still not complying and have many unstamped products on the market competing with those who have paid tax. Each manufacturer we find with unstamped products will be penalized in line with Section 19B of the Tax Procedure Code Act,” said Tumwine.
Section 19B of the Tax Procedures Code Act stipulates that a taxpayer who fails to affix a tax stamp on goods prescribed under the law is liable to a penal tax equivalent to double the tax due on goods of UGX 50M, whichever is higher.
The URA officer added that the DTS team will engage clients so that they affix digital stamps on their products and clients will also write commitment letters for future voluntary compliance.
The affected drinks are Buganda Kombucha, Sniper Alcoholic Kombucha, Matunda Alcoholic Kombucha, Chamuka Alcoholic Kombucha, Baliruno Pure Waragi Konko, Mpenkoni fermented beverage, Kazero Alcoholic Kombucha and Embogo Kombucha.
