Parliament Approves Shs14.97 Billion Tax Relief for UPPC and Ankole Western University

The Parliament of Uganda has approved a significant tax waiver amounting to Shs14.97 billion for two key institutions: the Uganda Printing and Publishing Corporation (UPPC) and Ankole Western University. The decision followed the presentation of two reports by the Committee on Finance, Planning and Economic Development.

Under the approved measures, UPPC receives a waiver on tax obligations worth Shs13.9 billion, while Ankole Western University is relieved of tax arrears totaling Shs1.02 billion. Lawmakers engaged in extensive debate over the UPPC relief, focusing on outstanding payments owed to the corporation by various Ministries, Departments, and Agencies (MDAs).

Hon. Gerald Nangoli noted that UPPC’s arrears largely stemmed from delayed payments by MDAs, which make up over 90 percent of its client base. While some legislators, including Hon. Gyaviira Lubowa and Hon. Peter Okot, questioned the necessity of the waiver given that recovering funds from MDAs could cover UPPC’s principal tax, Minister of State for Finance Hon. Henry Musasizi defended the relief. He emphasized that keeping the wholly government-owned entity operational is a national priority.

Meanwhile, the waiver for Ankole Western University aims to safeguard the institution from closure. Presenting the committee findings, Hon. James Kakooza explained that the university’s tax liabilities accumulated due to operational disruptions during the COVID-19 pandemic and severe socio-political conflicts within the West Ankole Church of Uganda Diocese, rather than intentional tax evasion. Lawmakers noted that aggressive enforcement actions by the Uganda Revenue Authority threatened to shut down the university and disrupt the studies of over 1,000 students.

Read the full details on the Parliament of Uganda.