The Uganda Revenue Authority (URA) has assured traders in Odramacaku town, Arua City that maintaining accurate records of their daily transactions is an effective way to determine their tax obligations.

Dr. Gaalya Micah Samuel, the Ag. Assistant Commissioner of Tax Education, made this assurance during a door-to-door tax education and sensitization exercise in Odramacaku, Ayivu Division. He emphasized that keeping records is not a daunting task, but rather a simple process that can be done using a basic book.

“Most of you think keeping records is hard, but it’s not. Just get a book and write down what you have sold daily. When the taxman comes, bring out that book and you can calculate your total annual sales to determine the right taxes to pay,” Dr. Gaalya explained.

His comments came in response to concerns raised by Samuel Endoma, a wholesaler of assorted goods, who stated that traders often lack the time to record their sales. Endoma noted that market days, particularly those with customers from the Democratic Republic of Congo can be hectic.

Dr. Gaalya stressed that without proper records, taxpayers risk being over-assessed or under-assessed by the tax authority.

“If you don’t have records, you give a chance to the taxman to either over-assess or under-assess you. The worst is when you are over-assessed. URA officers will assess you according to the available stock they are seeing,” he warned.

Dr. Gaalya urged traders to take proper book keeping seriously, as it is essential for paying their fair share of taxes. Endoma, however, commended URA for allowing Congolese traders with numberless motorcycles to enter Uganda, noting that they are a significant customer base for local merchants.

In a related development, the Tujenge Bus team, in conjunction with the Arua District team, conducted a follow-up exercise in Maracha on Saturday. Nziru Miriam, the Ag. Station Head, reminded traders to settle their tax obligations promptly to avoid penalties and interest.

The URA’s tax education and sensitization efforts aim to promote voluntary compliance and improve tax revenue collection in the region. By emphasizing the importance of proper record keeping, the authority seeks to empower traders to manage their tax obligations effectively and contribute to the country’s economic development.

By Kamugisha Kabahweza Allan