1. What is the current waiver all about?

Dear Reader,

The current waiver is another opportunity Government has given to taxpayers who have tax arrears, to settle their liabilities without worrying about the burden of interest and penalty.

The waiver applies to outstanding interest and penalty as at 30^th June 2024 where a person pays their principal tax by 30^th June 2026.  However, where a person pays only a part of the principal tax, the waiver of interest and penalty will be what relates to the portion of the principal tax paid. 

The waiver is a unique opportunity to enable taxpayers to settle their tax obligations without the burden of paying penalties and interest thereby giving one the opportunity of having a fresh start with their tax compliance.

2. If I manage to pay part of my outstanding Principal tax, before the deadline. Do I still benefit from the waiver?

Dear Reader,

Yes, you will still benefit from the waiver. However, where a person pays only part of the principal tax outstanding as at 30^th June 2024 by 30^th June 2026, the interest and penalty waived will be the portion that relates to the principal tax paid.

For example, if you pay 50% of your principal tax, then 50% of the corresponding interest and penalties will be waived.

Taxpayers are therefore encouraged to pay the principal tax in full in order to maximize their benefit from the waiver.

 3. When I disagree with the principal tax reflected in my ledger, what happens to me?

Dear Reader,

Once you disagree with the principal tax amount in your tax ledger, it’s important to contact URA promptly for a reconciliation.

This will help ensure that any disagreements are resolved in time so you can take full advantage of the waiver.

4. Does the waiver cover all penalties and interest?

Dear Reader,

The waiver covers all penalties and interest outstanding as at 30^th June 2024 except the following:

• Customs taxes and duties;
• Penal tax for failure to provide information;
• Penal tax related to digital tax stamps (DTS);
• Penal tax related to non-compliance with the Electronic Fiscal Receipting and Invoicing System (EFRIS);
• Penalty for failure to register for taxes;
• Any court-imposed penalties and interest.

URA is committed to serve you better. Therefore, if you require further assistance, do not hesitate to reach out to us via https://touchpoint.ura.go.ug/ or on our tollfree number 0800217000 or WhatsApp on 0772140000.

5. Commissioner General, is this the first waiver we are experiencing as clients?

Dear Reader,

Following the Covid 19 pandemic, the Government of Uganda realized that a number of businesses were adversely affected and therefore introduced various waivers that have benefited clients namely:

2020/2021 waiver.

Waived penalty and interest outstanding as at 30^th June 2020.

2023/2024 waiver.

Waived penalty and interest outstanding as at 30^th June 2023 in proportion of the principal tax paid by 31^st December 2023.

2024/2025 waiver.

Waived penalty and interest outstanding as at 30^th June 2023 in proportion of the principal tax paid by 31^st December 2024.

2025/2026 waiver.

Waiver of penalty and interest outstanding as at 30^th June 2024 in proportion of the principal tax paid by 30^th June 2026.

6.What will happen to the interest that will accrue after 30^th June 2024, but before 30^th June 2026.

Dear Reader,

Where the interest relates to principal tax that was outstanding as at 30^th June 2024, the interest shall be waived if the principal tax is paid by 30^th June 2026.

7. What type of taxes are covered by the waiver?

Dear Reader,

The waiver covers all domestic taxes including: Corporation tax, Individual income tax, rental income tax, PAYE, value added tax [VAT], local excise duty, gaming tax and others.

8. What is the deadline for the waiver?

Dear Reader,

The current waiver will lapse on 30^th June 2026. Therefore, all taxpayers are encouraged to pay any principal tax that was outstanding as at 30^th June 2024 by 30^th June 2026 in order to benefit from the waiver.

9. Why is the Government of Uganda offering another waiver?

Dear Reader,

As business continue to recover from the economic hardship caused by the Covid 19 pandemic, the Government of Uganda has extended this tax amnesty through the waiver of interest and penalty on any outstanding principal tax to enable struggling businesses recover and stabilize. The extension aims to cater for taxpayers who didn’t benefit from the earlier waivers of interest and penalty.

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