Business 17 April 2026 Daily Monitor (Uganda)
Ugandan Musicians Slam ICPA-U's Push for 15% Tax on Entertainment Performances
Ugandan artistes, led by Uganda Musicians Association secretary Phina Mugerwa, have fiercely opposed a proposal by the Institute of Certified Public Accountants of Uganda (ICPA-U) to increase the withholding tax on public entertainers from 6% to 15%. ICPA-U argues the hike would formalize taxation in the growing entertainment sector and generate Shs10.5 billion annually, but performers call it crippling for their struggling industry. Source: https://www.monitor.co.ug/uganda/news/national/artistes-certified-public-accountants-clash-over-15-withholding-tax-proposal--5427086
A heated debate has erupted between Ugandan musicians and the Institute of Certified Public Accountants of Uganda (ICPA-U) over a proposed hike in withholding tax for public entertainers.
ICPA-U, represented by Taxation and Economic Policy Panel Chairperson Silajji Kanyesigye Baguma, urged Parliament’s Finance Committee to raise the tax from the government’s suggested 6% to 15% on gross payments. They claim this would bring in Shs10.5 billion yearly, target an undertaxed creative sector, and encourage formal compliance among non-traditional earners.
Phina Mugerwa, general secretary of the Uganda Musicians Association (UMA) and known as Phina Masanyalaze, branded the idea ‘insane’ and unfair. She argued that ICPA-U misunderstands the industry’s low earnings and challenges, like the lack of proper venues and influx of unprofessional players.
‘You cannot start milking the cow which you are not feeding,’ Mugerwa told reporters, noting recent failed pleas for government support such as a 1% levy on music-playing devices to fund the sector.
Under the original 6% plan, a Shs1 million performance fee would net the entertainer Shs940,000 after promoters withhold the tax. ICPA-U’s 15% version would reduce it to Shs850,000.
Some MPs, including Kiboga East’s Keffa Kiwanuka, questioned the practicality of collection, especially from private event organizers. Kanyesigye clarified that the tax should apply only to public performances like concerts or radio gigs, not private functions such as weddings, and called for a clear legal definition to avoid confusion.
The proposals are under review as Parliament scrutinizes tax bills for the FY2026/27 budget of Shs84.2 trillion, with Shs1.7 trillion expected from reforms.
Source: Daily Monitor (Uganda)