VIDEO: URA increases fine for tax evading importers to Shs72m
What you need to know:
- Mr Kateshumbwa said the fine for any act of smuggling is being increased from $10,000, equivalent to Shs36 million, to $20,000, equivalent to Shs72 million.
Mr Kateshumbwa cautioned the taxpayers to avoid tax avoidance and tax evasion to avoid jeopardizing their businesses.
It is estimated that Uganda loses Shs1.5 trillion annually through illicit financial flows, mainly through tax avoidance
Importers who use different tricks to avoid or evade taxes face a fine of Shs72 million once caught, Uganda Revenue Authority-URA has warned.
The Commissioner for Customs, Dickson Kateshumbwa disclosed this at the URA Annual Budget Breakfast held in Kampala Monday.
At the breakfast meeting, URA laid out all the changes in the tax regime, including income tax, excise and customs duties, as well as policy implementation strategies. The aim is to make the taxpayers informed of the changes.
After outlining developments in customs, Mr Kateshumbwa said in order to combat various forms of tax avoidance like under declaration and falsification of goods, the East African Community partner states have agreed to amend the East African Customs Management Act.
Mr Kateshumbwa said the fine for any act of smuggling is being increased from $10,000, equivalent to Shs36 million, to $20,000, equivalent to Shs72 million.
Mr Kateshumbwa cautioned the taxpayers to avoid tax avoidance and tax evasion to avoid jeopardizing their businesses.
It is estimated that Uganda loses Shs1.5 trillion annually through illicit financial flows, mainly through tax avoidance.
