URA seeks to force 142 defaulters pay Shs11 billion arrears
Ms Doris Akol, the URA commissioner general. The tax body is seeking to force defaulting companies pay Shs11b in at least seven days. FILE PHOTO
What you need to know:
- URA has a target of Shs16 trillion in the 2018/19 financial year of which Shs418b will be raised from non- tax revenue.
According to data from URA, the shame list has been an important aspect in tax recovery, helping the tax collector to register successful recoveries of 80 per cent in the last 10 years.
Kampala. Uganda Revenue Authority (URA) has published a list of 142 companies, which it claims, have failed to clear a tax obligation of Shs11b.
In a public notice, URA warned the companies to clear their respective arrears or risk prosecution.
“We [URA] remind [these] taxpayers, their respective guarantors and directors to settle their outstanding tax liabilities and provide evidence of full payment within seven days from the date of this publication,” the notice reads in part.
The list comprises 142 companies operating in different fields such as transporters, engineering, construction, communication and consulting companies, among others.
They are alleged to have mainly defaulted on customs and value added tax.
Some of the notable companies include Mugoya Construction & Engineering guaranteed by Mr James Isabirye with a default value of Shs73m.
Africa Institute for Energy Governance guaranteed by Mr Dickens Kamugisha has a default rate of Shs39m while Habib Oil Uganda, which is guaranteed by Mr Japher Kagimu has a tax reliability of Shs133m.
Mr Ian Rumanyika, the URA public relations manager, in an interview told Daily Monitor yesterday that the “shame list”, which was created about 10 years ago, seeks to boost compliance and serves as a reminder for non-compliant taxpayers to meet their obligations.
The list, he said, is a last resort by the tax collector after numerous attempts are made to remind the tax payer of their obligation.
“No one wants to create or be on that list, but by the time we release it, we have really done everything in vain,” he said.
URA has a target of Shs16 trillion in the 2018/19 financial year of which Shs418b will be raised from non- tax revenue.
According to data from URA, the shame list has been an important aspect in tax recovery, helping the tax collector to register successful recoveries of 80 per cent in the last 10 years.
Subsequently, arrears, URA indicates have been reducing over the years.
some of the listed companies
