By Joshua Niyonshima
URA has encouraged investors to embrace the ongoing Buuza Kamisona (Ask the URA CG) campaign with the aim of improving tax literacy and boosting voluntary compliance among both local and foreign investors.
This development took place during the Uganda Investment Authority (UIA) Investors’ General Meeting held at Namanve Industrial Park recently. Representing the URA Commissioner General, Abel Kagumire – the Commissioner Executive Office Operations led the tax education drive, responding to numerous investor inquiries on tax exemptions, withholding tax, and available tax incentives.
“URA runs a programme called Buuza Kamisona, with the English edition running as Ask the URA CG in New Vision. So whatever questions will be raised here we shall answer them, and amplify them in newspapers for others who are not here,” Kagumire explained.
He outlined key tax exemptions under the Income Tax Act, noting that foreign investors operating within industrial parks are eligible with an investment of USD 10 million. Ugandan investors within a 50km radius of Kampala qualify with USD 300,000 investment, while those outside the radius at USD150,000.
Kagumire urged investors not to view taxes as a burden, highlighting URA’s role in facilitating trade.
“As an investor, you shouldn’t have a problem with taxation because our focus is PAYE. URA is here to facilitate trade, allowing your raw materials to come in and your exports to go out quickly,” he said.
Adding to the discussion, Charles Mua, Assistant Commissioner for Business Policy, detailed the process for claiming withholding tax exemptions. He stated that the exemption window for this year opened on April 01 and will close on May 31, 2025. However, businesses with a pre-approved 10-year exemption are automatically covered and do not need to reapply.
“Withholding tax is based on compliance,” Mua emphasized, “whether you apply online or manually, what matters is that your tax filings and compliance requirements are up to date. For new businesses, this includes submitting a provisional return.”
Minister of State for Finance in charge of Investments, Evelyn Anite, commended URA for its outreach.
“We are very proud of you. We appreciate you for always coming to these Barazas because you facilitate these investors to invest in this country,” Anite said, further praising Kagumire as a dedicated public servant.
Anite reaffirmed the government’s commitment to maintaining incentives for priority sectors such as manufacturing, ICT, industrialization, and value addition.
