The Uganda Revenue Authority officials have distanced themselves from reports that they have introduced a new tax.

Appearing before the Finance committee, the Ministry of Finance tabled new proposals by URA, indicating that all property transfers and motor vehicle registrations with a value of 50 million shillings and above would be subjected to inspection for income tax compliance.

Addressing the media today, URA’s Commissioner General, Allen Kagina says the tax is already in existence however they are only implementing it to curb tax defaulters.

Kagina says the law requires persons to pay stamp duty when transferring property to someone else and the intention is to ascertain whether the buyers are on the tax register and has paid tax on the taxable income.

The authority also says that since the initiative started a month ago, it has collected 687 million shillings from 126 transfers cleared and are still processing 194 applications estimated at 7 billion shillings in income tax.

By Ultimate Media