Let’s find solutions to concerns on EFRIS

Traders in Kampala and Masaka City have been on strike starting on Monday April 8 over the Electronic Fiscal Receipting and Invoicing Solutions (EFRIS) system that Uganda Revenue Authority has been rolling out in various sections of the business community, with varying levels of success since 2019. 

Matters came to a head when the revenue body intensified its efforts to implement the system in the busy commercial hub of Kikuubo in Kampala. Among the listed grievances of the striking business community is the way the enforcement has been handled, moreover with little regard for the reality of the degree of education and literacy of the target group where the digital system is being implemented. 

The revenue body has countered the accusations by demonstrating how they went about sensitising and educating the businesspeople before and during implementation of the programme. Clearly, the strike has shown that previous efforts at creating awareness on EFRIS fell short or else we would not find ourselves where we are today. 

The taxman has repeatedly laboured to explain that EFRIS is not a form of double taxation, almost to no avail. More light ought to be shed on the issue to outline the difference between belief and reality. 
The requirements for compliance ought to be clearly spelt out but also the tax body should ensure that what they are asking is not out of reach of many ordinary traders. The traders and the taxman seem to be speaking at cross purposes and someone ought to listen keenly to find out the real sticking issues in the e-receipting system. 

The penalties for non compliance, which run from 300 currency points to a maximum of 2500 currency points or up to 10-year jail terms in some cases, are also quite steep for a group of people, who have largely admitted to lacking the capacity to procure and run some of the hardware and software required to run this system and report effectively to URA. 

According to the requirements for connecting and using EFRIS, a trader requires at least Shs1m to get set up with a device, internet connection, software as well as powering the system. This is at a bare minimum. The cost can be higher depending on the level of connection required. 
These, and more of the issues, need to be examined critically to ensure that the systems work for all concerned.