keep proper records for your businesses if you are to benefit from tax laws, Hon Betty Nambooze

Member of Parliament for Mukono Municipality, Betty Nambooze has urged her constituents to keep proper records for their businesses if they are to benefit from tax laws. Nambooze made the call last Friday while meeting members of the Mukono Traders Association and URA officials who had gathered to discuss taxation matters at the Rider Hotel   . “I appeal to you to always keep proper records for your businesses, attend planned tax barazas, and avoid conflicting declarations whenever registering with entities. When you attend tax barazas, you gain more knowledge on taxation and how to better assess yourself,” she said. Nambooze’s call followed the URA ’s tax education presentation by Michael Masembe , the Ag. Manager of Tax Education. Masembe explained that some traders and taxpayers are not fully aware of the tax system in Uganda which is why URA conducts tax education and sensitization campaigns. “Most people are still unaware of the tax system in Uganda and they do not know the thresholds and tax brackets. Small businesses are classified under the presumptive tax because their total sales in a year are below UGX 150 million, and a trader who does not exceed UGX 10 million in a year pays nil,” said Masembe. He also elaborated on taxes and non-tax revenues (NTR). “We are mandated by law to mobilize and collect taxes and non-tax revenues for the government. NTRs include passport fees, driving license fees, express penalty fees from traffic officers, tuition from government universities, NIRA fees, motor vehicle registration, registration of titles, and other fees. Among other things, the taxpayers were also tipped on how different taxes are calculated, including employment income, business income, and rental income, for both individuals and companies and the advantages of a tax identification number (TIN), which include buying motor vehicles and land and changing ownership of a vehicle and land. Nambooze also reiterated URA’s call for taxpayers to make use of the amendment Section 40D- Tax Procedures Code Act, which grants a waiver on penalties and fines when one pays the principal tax for domestic taxes as of June 30, 2023. “This waiver that we passed in parliament will benefit taxpayers who pay the principal tax, and the waiver expires on December 31, 2023,” she emphasized.