URA seeks to recover Shs25 billion from 221 companies, individuals

Kampala.

Uganda Revenue Authority (URA) is seeking to recover more than Shs25b in unpaid taxes from 221 companies and individuals.
According to a list published by URA, the 221 companies have defaulted on different duties including VAT, income tax, import duty and withholding tax, among others.
“Uganda Revenue Authority (URA) reminds the following taxpayers, to settle their outstanding tax liabilities and or provide evidence of payment. Whoever will not settle their outstanding liabilities and or produce evidence of payment … shall be enforced upon in accordance with the relevant tax laws,” a note published along the list, reads in part.
Top on the list is Neptune Petroleum which has an outstanding tax obligation of Shs5.5b.
Others are T&K Commercial Agencies with arrears of Shs2.3b, Bemuga Forwarders (Shs441.9m), Mwesigwa Rukutana and Co Advocates (Shs143.9m) and Gulu Independent Hospital (Shs567.5m), among others.
The list highlights Income Tax as the most defaulted prominent followed by Value Added Tax and Pay As You Earn.
Mr Ian Rumanyika, the URA commissioner public and corporate affairs, at the weekend told Daily Monitor, some of the companies had under declared their tax obligation while others had not declared at the time of audits.
Most of these companies, he said, are from western Uganda, especially in the district of Hoima.
However, he said, some have since the time of publishing the list, cleared while others have committed to a payment plan that they are now servicing. “Most of them have come through and we have had Memoranda [with clear] payment approaches. Those that will [fail] to come through, we shall attach their property and auction them,” he said.
Also highlighted on the list is Rental Tax, which, according to Mr Rumanyika, has been in existence but met divergent opinions from the public.
URA had in the 2017/17 financial year sought to mobilse Shs117b from Rental Tax.
However, the tax has been met with some resistance and has been difficult to enforce in some areas.
URA is seeking to raise Shs16.2 trillion in the 2018/19 financial year, of which Shs418b will be raised from non- tax revenues.
Government recently amended a number of tax measures in which it introduced new taxes and increased others as it sought to widen the tax base.