By Joshua Niyonshima
In a bid to promote tax compliance and ease business operations, the Uganda Revenue Authority (URA) has joined forces with the Institute for Social Transformation (IST) and Urgent Action Fund-Africa. Together, they are demystifying the Electronic Fiscal Receipting and Invoicing Solutions (EFRIS) system, benefiting over 12 women markets across five districts.
The partnership addresses widespread confusion and resistance among traders regarding EFRIS and taxation.
IST’s Moureen Wagubi emphasized, “We are bridging the information gap, ensuring traders understand EFRIS is a tool for smoother transactions, not an additional tax.”
URA’s Mercy Okori shed light on taxpayers rights and obligations.
“Traders deserve fairness, confidentiality, and the right to object to assessments. In return, they must maintain accurate records and avoid evasion.
Okori stressed tax compliance funds vital services like roads, electricity, healthcare, and social development programs.
Sandra Grace Kakooza from URA’s Tax Education division explained VAT rates and applicability. Standard-rated supplies are taxed at 18%, while zero-rated supplies include exports and select drugs. Exempt supplies, such as unprocessed agricultural products and some educational services do not attract VAT.
Kakooza outlined VAT registration benefits, including access to larger business opportunities, claiming VAT on purchases and avoiding penalties.
This collaboration demonstrates URA’s commitment to enhancing tax literacy and supporting traders. By promoting understanding and compliance, URA contributes to Uganda’s economic growth and development.
The project has already reached over 12 women markets in five districts, including Nakawa, Kalerwe, Kikoni, and Ntinda New markets in Kampala, as well as Gulu Main, Cerealeno, and Lacor Markets in Gulu District, and markets in Iganga, Busia, Arua, and Pader.
With this initiative, URA, IST, and Urgent Action Fund-Africa are paving the way for a more informed and compliant taxpayer community, ultimately strengthening Uganda’s economy.
