John R. Musinguzi, the Commissioner General of Uganda Revenue Authority has said that increased adoption of the Electronic Fiscal Receipting and Invoicing Solution (EFRIS) could improve Uganda’s Tax to Gross Domestic Product (GDP) ratio.

Musinguzi who was addressing the media at the URA headquarters in Nakawa recently said this is because EFRIS enhances transparency and efficiency in tax administration.

He hailed the system as one of the most important technologies in this taxation era.

Introduced in Uganda in 2021, EFRIS is used to manage the issuance of receipts and invoices. This in turn enhances reporting of Value Added Tax (VAT). The system has however been received with mixed reactions by the public.

Musinguzi reiterated that besides improving the country’s Tax-to-GDP ratio, EFRIS helps users claim their refunds faster.

“Once taxpayers on EFRIS put in their claim, we are obliged to give them their refunds promptly and they are beginning to promote the technology.”

This is because of the minimal audits required for businesses using EFRIS.

“Sometimes audit takes a year or two, due to limited resource personnel to carry out an audit, thus causing a refunds backlog,” Musinguzi explained.

“But with transparent systems like EFRIS, you are selling everything online, purchasing everything online. This is known to us. When you say you owe me so much, we should just process and pay you promptly,” he added.

The Commissioner General is hopeful that the resistance and misgivings about EFRIS will be overcome by continuous sensitization and engagement ultimately improving Uganda’s tax to GDP.

By Kamugisha Kabahweza Allan