Politics 29 April 2026 Parliament of Uganda
Uganda Parliament Rejects Tax on Diaspora Remittances and Personal Asset Sales
Ugandan lawmakers have approved the Income Tax (Amendment) Bill, 2026, turning down government plans to impose taxes on earnings remitted by overseas workers and profits from selling personal assets like land and jewelry. The decision aims to protect low-income migrants and avoid burdensome enforcement while passing other revenue measures. Source: https://www.parliament.go.ug/index.php/news/4412/parliament-rejects-taxing-kyeyo-earnings
Uganda’s Parliament passed the Income Tax (Amendment) Bill, 2026, during a session on April 23, 2026, led by Speaker Anita Among. Lawmakers rejected a proposal to tax ‘kyeyo’—income sent home by Ugandans working abroad—citing its impact on low-wage migrant laborers in the Middle East who support families under tough conditions.
The House also scrapped plans to tax gains from non-business asset sales, such as land, jewelry, or even household items like TVs. Finance Committee Chair Amos Kankunda argued these transactions are often personal, like covering medical bills, and hard to distinguish from business deals. State Minister Henry Musasizi acknowledged enforcement issues, leading to the clause’s removal.
Other key approvals include a six-year tax holiday extension for the Bujagali Hydropower Project until 2032 to keep electricity affordable, taxing software royalties to capture digital services, exempting workers earning below Shs335,000 monthly from PAYE, and lowering hotel investment thresholds from $5 million to $1.5 million to spur tourism.
Parliament simultaneously passed the Lotteries and Gaming (Amendment) Bill, 2026, standardizing taxes across gambling activities. These bills support revenue for the 2026/2027 budget while balancing growth and taxpayer relief.
Source: Parliament of Uganda