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

The Parliament of Uganda has approved a tax waiver equivalent to Shs14.97 billion owed by the Uganda Printing and Publishing Corporation (UPPC) and Ankole Western University. The approval follows the presentation of two reports by the Committee on Finance, Planning and Economic Development.

Out of the total relief, the committee recommended a waiver of tax obligations worth Shs13.9 billion owed by UPPC, alongside tax arrears of Shs1.02 billion owed by Ankole Western University. Presenting the report on UPPC, Hon. Gerald Nangoli explained that the corporation’s tax arrears accumulated largely due to delayed payments by various Ministries, Departments, and Agencies (MDAs), which form over 90 percent of its client base.

The waiver recommendation sparked debate among legislators. A minority report presented by Hon. Gyaviira Lubowa challenged the decision, arguing that clearing the Shs11.85 billion owed by MDAs would provide UPPC with sufficient funds to clear its principal tax liabilities without needing a complete waiver. State Minister for Finance Hon. Henry Musasizi defended the relief, noting that keeping the wholly government-owned entity operational is a national priority.

Regarding Ankole Western University, the committee noted that the institution’s tax arrears, interest, and penalties threatened its operational viability. Hon. James Kakooza explained that the liabilities accumulated during severe operational disruptions, including the COVID-19 pandemic and internal governance conflicts within the West Ankole Church of Uganda Diocese, rather than deliberate tax evasion. Lawmakers agreed that enforcing strict tax recovery measures would have forced the university to close, disrupting the studies of over 1,000 students.

Read the original report on the Parliament of Uganda.