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FDC urges Ugandans to rise up against new 'exploitative' taxes

Finance minister Matia Kasaija

Finance minister Matia Kasaija

The opposition Forum for Democratic Change (FDC) party has implored Ugandans to rise up against some of the newly approved taxes and the increasing public debt, which currently stands at over $15 billion (about Shs 54 trillion).

Last month, parliament approved a Shs 100 levy on a litre of petrol, diesel and paraffin, but now FDC deputy secretary-general Harold Kaija says the tax will not only affect motorists, but all Ugandans in a cumulative manner.

He explains that a boda boda rider consuming fuel of Shs 20,000 per day, will be required to pay not less than Shs 200,000 annually compared to the annual Shs 150,000 road user license that was initially proposed but later dropped following a public backlash. Kaija says it's high time Ugandans stopped underlooking things that affect them as they wait for the leaders to speak out.

"But I think because some of our people hate numbers, they did not look at the cumulative effect of the Shs 100 because when you run the numbers, you will find that a boda boda guy will pay about Shs 200,000 per year. If they consume fuel of Shs 20,000, it actually increases to Shs 30,000 or Shs 40,000 depending on what they are doing, they might end up even paying even Shs 300,000 from the Shs 150,000. A saloon car that consumers about 7 litres a day, will pay Shs 250,000 plus if it keeps consuming that. If he drives to Masaka, goes to Jinja, the cost will even increase to Shs 400,000 from the earlier Shs 200,000," said Kaija.

Kaija says instead of burdening the ordinary Ugandans with more exorbitant taxes, government should be taxing the more profitable ventures such as gold export. He wondered why gold exporters pay only $200 (about Shs 722,000) tax per kilogram yet on the international market a kilogram is worth about Shs 207 million.

"Who is in this gold export because the percentage on tax on gold is about 0.0003% not 0.05%. Not even 1%, PAYE they want 30%, internet they want 12% in a world when internet is actually becoming free of charge. Those who have moved in other countries; from the airport to wherever you go to the train - to any public place internet is free but here they want 12%. Am not even talking about the money they are going to ask on your airtime. These are some of the taxes that Ugandans must say no to. A person who pays PAYE goes ahead and pays 30% on rent," Kaija added. 

Kaija says the public must demand to know the beneficiaries of their taxes instead of lamenting about the bad roads, hospitals, and poor public services. Kaija also says that the FDC party wants the population to demand accountability for the large sums of money acquired through loans that remain redundant yet Ugandans have to pay interest. Over 20 per cent of the money in 2021/22 financial year budget has been earmarked for servicing loan.

"FDC is concerned about how Uganda is indebted especially on how the money borrowed is used. We’re aware that about Shs 17 trillion was got through loans and it has been redundant at the ministry of Finance. As you’re all aware, the budget of 2021/22, about 20% of that budget is going to be paying interest on those loans. But when we get information that some of those loans are actually redundant, the FDC would want to question that why is that money borrowed. Why don’t they use it because in countries like ours where we have leaders who don’t mind about others and are only greedy, some of them use that money to do their own business. Some of them use that money to do their own business," Kaija said. 

However, the government says that borrowing was inevitable as it needed funds to finance the gaps and provide a stimulus package. According to FDC, it does not matter whether the taxes have already been passed by the parliament as long as the population opposes the taxes, they can be dropped.

Last month, the minister of Finance, Matia Kasaija tabled before parliament 12 taxes under the financial year 2021/2022 budget. They included the Excise Duty (Amendment) Bill, 2021, l, 2021, The External Trade (Amendment) Bill, 2021, the Income Tax (Amendment) Bill, 2021, the Mining (Amendment) Bill, 2021, the Stamp Duty (Amendment) Bill, 2021.


0 #1 Byamukama Patrick 2021-05-03 21:23
imagine we are going to pay the billions of money DRC is demanding and yet the gold, diamond, timbers and yes the DRC women the stole benefited a few individual who are well known by UN and 95% of them are still alive.

oh uganda, may Allah uphold thee!!
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-2 #2 NRM Combatant 2021-05-03 22:36
Uganda has over 40 million of people and huge consumption of various resources.

Incurred debt is large but not huge like some even much smaller countries have Uganfans just need to crosscheck other countries and compare.

Even worst indebted countries like Argentina and some others went bankrupt and stood up and continued. Rememner Greece fro Euripe?

This is another example.Those who are interested in this subject better go online and check to get proper information and not alarmists like FDC.

Did FDC do any good except quarrelling? Where are their results.? None,zilch and they just put petrol on fire to make problems.Reject FDC rubbish.
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0 #3 Kitwe mboona 2021-05-03 22:42
Ono kasaija nebanne bakuuma milimo kusakila ba family mere oba? why stand too low in a non-functional system?doing wrong things for the benefit of one individual yet masses will hold you accountable when you are dropped.
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0 #4 WADADA rogers 2021-05-03 22:49
For a long time now, i had not heard FDC speak sense, they usually lament over things that they can do something about hoping that Ugandans will wake up from their slumber.

I personally would not have a problem with increased taxes only if they were serving the purpose. This money usually ends up in swiss bank accounts to benefit a few.
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0 #5 kasede 2021-05-04 00:05
Quoting Byamukama Patrick:
imagine we are going to pay the billions of money DRC is demanding and yet the gold, diamond, timbers and yes the DRC women the stole benefited a few individual who are well known by UN and 95% of them are still alive.

oh uganda, may Allah uphold thee!!

Please leave Allah out of this very Ugandan affairs. God himself is a dictator, isn't (s-)he?

I wonder, if HE is actually male or female or both. If male, Dear Xtains why did he send a male (Gabriel) to commit rape of an under-aged girl (Maria), instead of him delivering the necessary shot from a distance? (Sex by ZOOM method should have be within his Akbar-powers).
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+1 #6 Lakwena 2021-05-04 10:09
In other words, Ugandans pay taxes at their own risk.

E.g., I pity the Boda Riders and Taxi Operators because, they are ones on the roads 24/7 paying the bulk of fuel tax; by burning millions of liters of fuel in obnoxious and gridlock traffic jam, which for most of the time created by the police in cahoot with the Cartel of Fuel Companies.

In other words, while hundreds of thousands of hard working motorists are stuck in traffic Jam for hours, burning in one spot the fuel that should have taken them to their destination; Gen Tibuhaburwa and cabal, the Kasaijja, Bahati, Nabakooba, Jane Aceng, Kadaga, RDCs, etc. of this country, who do not pay a cent for fuel are whisked away at 80Km/h, leaving hassling and poor Ugandans in the dust and exhaust fume.
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+1 #7 Lakwena 2021-05-04 10:20
In other words Ugandans are Gen Tibuhaburwa's slaves working for him and family. Through the Bahati of this country Gen Tibuhaburwa taxes as he wants and borrows at whim to buy e.g. the weapons, which his soldiers use to massacre Ugandans on their own streets, and for which those who are left alive will pay the debt and interests.

Otherwise, why did he on 26th January 2017 tell off Ugandans that he is nobody's servant or employee; that Ugandans are mistaken if they thought he went to the bush in Feb 1981 to help them out of the Obote regime quagmire.

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+1 #8 Kalibbala 2021-05-04 14:53
#Lakwena.Spot on..You see He not only told Off Ugandans that he is not Their Servant but also Declared himself The Curse/Ekikolimo, Kisiraane
and Enemy of All Humanity!!Some effigies in his Notorious Robbers Movement Party Clapped their

This is a Country where Folks are Being Killed like Flies Stuffed in Cage-Like Safe Houses

and Prisons to be Raped and Sodomized on a Daily basis! But You see Foreign Dignitaries like Germany and Italy Inviting Kim Jon Kainerugosi to Dinners to hack deals Of Weapons to Continue
Holding Ugandans Hostage in their Own Country!

One Reporter said that Our Problem is Being Misruled by Despots from a Very Poor Upbringing

Gaddafi of Libya was Born a Poor Boy in a Tent and Fed on Camel Milk! when He Captured Power, He Hated his Folks to the Extent of Calling them Rats! Until the Day Came for an Uprising!! Nobody Knows where He was Buried!! Time will Tell..
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