That the collectors of Uganda’s taxes are suffocatingly arrogant is not an opinion of mine, but of many businessfolk downtown.
There are many stories of pain and suffering downtown, and one cannot stop to count the number of shops that have been shut down because of both the violence of taxes – and the suffocating arrogance of its collectors.
As one businessman said to me, “you are at the mercy of the tax collector in this country. URA acts as if they own our businesses, and we are simply their workers.”
Not a businessman myself, I only recently learned that URA officials often go downtown and evaluate the taxable value of stalls and shops and bill them on the spot. They do this after every three months on a quarterly.
That a businessperson ought to file their income returns, which means taxed upon. Notice, however, that for these returns, they would be selling the same good for which they paid taxes when the goods were being entered into the country.
A young lady narrates an encounter with a URA tax enforcer that forced her to close her small under-the-stairs stall just three months after opening it. Atim, not real name, had only recently started gambling with her dream when URA’s so-called “enforcement unit” stormed downtown for an operation.
She had just about three dozen of merchandise and surrounded by mostly empty shelves. The URA official told her that she would be paying Shs 700,000, which she protested. She informed her she was just beginning, and this money would close her down.
The official told her she – she was a woman – didn’t care about her stock.
“If you do not want to pay, get out and I will seal it off and you’ll sort yourself with URA officials.”
Three months later, this woman closed her stall, noting she had not opened the shop to make profits for URA. Atim’s story is the smallest, and the mildest. There are stories of a product being taxed beyond its price on the market. These are far too many.
The tax official goes online – they are asking ChatGPT now – checks the price of the original product, uses that value/price to levy a tax on a duplicate – Version II or III of the original.
A businessman tells me a story of angrily asking a URA official whether they knew the price of the product on the market in downtown Kampala, to which they rudely responded, they didn’t care. Why didn’t they care?
What becomes visible is that the tax collector doesn’t understand that their existence entirely depends on the work of the businessperson. The tax collector appears deluded at three levels (a) a belief that they are not only smarter and that they are competing with the businessperson (b) a belief that they are more important that the businessperson and (c) that they are doing businessfolks a favour in allowing them to operate alongside them.
In truth, these taxes and their crippled logics have killed creativity and invention among the Ugandan businessfolk. The claim is that tax collection offers the moneys from which the budget is funded.
But this is a very problematic proposition, which needs entire lectures to make sense of. But I will focus on funding budgets, and the misleading claims around taxation.
GOVERNMENTS DO BUSINESS
Ironically, while the claim is that these taxes are collected to service public goods and services (which is never true because we are drowning in debt), countries don’t grow from collecting taxes.
Public goods and services are never funded from tax collection. In fact, governments elsewhere actually return these monies to their people in cash when they fall on bad times. Government across the world do business or go abroad and steal to fund their public goods and services.
What has happened to Uganda is that Yoweri Museveni and his friends bought into this neoliberal deception and handed over the country to thieves from abroad.
While I wouldn’t expect them to steal anything from abroad ( just the way European countries do), Museveni’s government does not do any business – yet this ought to be their main source of income to fund the budget.
Their telecom company is almost non-existent; their bank is on life support; their airline is wobbly. They don’t have a public transport system from which to earn. They sold a major national bank (UCB) and handed over all our cash cows including coffee gold, and Lake Victoria to foreigners.
Consider elsewhere – in the so-called heartland of capitalism: Governments elsewhere fight blood and tears to protect their businesses. In fact, many young businesses pay no taxes before they reach a particular threshold.
In Germany, for example, before a business registers €20,000 on its books as profit after tax, such a business pays no tax. But see, Germany provides so much for this businessperson including protection from foreign competition, lower interest rates and public infrastructures.
So, if the most developed countries are gentle and supportive to their developing businesspeople, why does the least developed country seek to suck the blood out of young businesses? What logic informs their taxing decisions?
yusufkajura@gmail.com
The author is a political theorist based at Makerere University.
Mr John Musinguzi Rujoki needs to answer this question … What logic informs their taxing decisions?
Doc, I have not yet read the article, however, the caption speak louder than the article [words]. Indeed its “It is not just the crippling taxes, but the suffocating arrogance of its collectors.” Yes, the taxman exceedingly exhibit enormous suffocating arrogance, which is derived from authoritarian dictator, M7, who is governing an authoritarian state captured by the gun and violence. Besides the gun and violence M7 has meted out on Ugandans since he came on the political scene, M7 is also motivated by insatiable greed of enriching himself, his family, relatives, tribesmen and militants by crippling taxes and suffocating arrogance of all-time. If Ugandans speak out, M7 pulls out the gun and unleash [mother] of all violence on us! M7 has given us only 3 options, you either join him, keep quiet or suffocate to death. Nothing in-between or else he pulls out the gun and unleash violence against whoever speaks out against his authoritarian state, crippling taxes and suffocating arrogance!
In other words Remase, who in his/her right state of mind can still deny that; all the NRM supporters and/or sympathizers are Mr. Museveni and family’s organized criminal accomplices against Ugandans.
E.g., if on the 26th Jan 2017, the man loudly and clear and in broad-day-light told us off that he is not our SERVANT nor EMPLOYEE, then except a self-declared Monarch, who and what is Mr. M7 to Ugandans?
Moreover in the same year, 2017, during the removal of Age Limit from the 1995 Constitution in broad-day-light told us off that he is the AUTHOR and MASTER OF VIOLENCE.
Therefore and logically, if these are the NEGATIVE ATTRIBUTES and cases against Mr. M7, how can the Commander in Chief who is the author and master of violence (made of violence) ever be and/or administer the country through PEACE and NON-VIOLENCE? Never!
In other words, for the 39 years and counting, the conducts of the armed forces are directly proportional to the Commander in Chief, who is morally bankrupt, corrupt, violent, a sadist, psychopath and therefore PURE EVIL.
But in spite of all these NEGATIVE ATTRIBUTES, including murdering each other,during the recent NRM Primaries Election; these people are falling over each in order to get closer to and be seen with an exploitative, self-declared author and master of violence.
Lakwena, in other words, we’re in a quagmire and unable to set ourselves free from bondage! For 40 years, and still counting, there’s no sight for change. Things are getting worse each and everyday! In 40 years, Uganda has never been invaded or attacked by foreign enemy. However M7 is using our taxes to stock up all kids of weapons, guns, mambas, jet fighters, you name it! All for domestic use on native Ugandans! As if that isn’t enough, it’s militants everywhere you go, on the streets, in parliament, URA, police, ministries [JJ Odong, Katumba Wamala & others], the entire nation is blanketed by militants as if we’re in a war! Violence is synonymous with each and every bogus election(s), with no end in sight! As recent as yesterday and as the caption above states, “Lukwago nominated as police [militants] clashes with his supporters.” Don’t get me wrong, I like Lukwago a lot, however, as a mayor, what has he accomplished for all that time? The other day Anita Among kicked him out of parliament were they (KCCA) had gone to complain against Ham Kigundu who is building structures on Nakivubo drainage system. Just like the taximan (URA), Kigundu drives his huge balls from M7 who gave him a letter authoring him to build those structures! Remember when fire burnt the entire market place around Nakivubo? After that violent act, the next day, Kigundu took over Nakivubo and built structures allover, and now, Kigundu owns Nakivubo!
With clear knowledge that, as long as M7 still owns Uganda, nothing will ever change. And amidst violence, Lukwago is again nominated, to do what?
Lakwena, What are we looking for in violent and bogus elections?
Remase, in the good-old-days when growing up, our parents, school teachers and/or the Church (Priests), always cautioned us to keep away from BAD COMPANY/IES.
Then, that was the mode of socialization into the culture of becoming honest and good citizens.
But today, even though Mr. M7 and his son, Gen MK openly tell Ugandans that they are BAD PEOPLE, but strangely most parents/youths especially the NRM members/supporters by extension PLU, the Clerics namely: the Pastors/Priests/Imams, even Bishops and Khadi, are dying to be in the company of a BAD MAN, our 84-years-old PROBLEM OF AFRICA and his son.
E.g., instead of Mr. M7 going to the Churches/Mosques (Holy places) and humble himself before God/Allah his representatives and congregation, the clerics are falling over each other to go to our current BLOODY State House, which has been profaned (abomination) with corruption (plunder) sectarianism and the source of violence against Ugandans.
In other words, it is overwhelming. I am bewildered and wonder: what do most parents now-a-days, especially the NRM supporters tell their children about BAD (dishonest and violent) FRIENDS/PEOPLE/COMPANY?
No wonder, we are being told that: in order to be voted CLASS PREFECT or MONITOR; at school, the children of the rich NRM members (Bad people) bribe their classmates with goodies and/or cash.
Lakwena, it’s not only overwhelming and bewildering, it’s unbelievable that the opposition are not only staking their lives but also the innocent Ugandans who’re neither supporters of any political party nor in politics of any kind. For example, in Nov 2020, M7 indiscriminately killed over 100 innocent people, including children, after M7 detained [Innocent] Kyagulanyi in Jinja. The official govt count was 45! Over 3000 were detained, and to this date many are still rotting in torture chambers and others are still missing!
Lakwena, this is what I cant fathom, the militants who massacred these innocent Ugandans are well known because, it was an order from M7. We clearly know who is holding those who’re in torture chambers and others who are missing since then. Without counting those who were killed after Kyagulanyi was released and went back to campaign, or Olivia Lutaya and others who were released after they were forced to confess to crimes they never committed, all those innocent Ugandans are being killed and persecuted because of their political divergence from M7.
Not only that we’re not demanding for their accountability, Besigye, Haji Lutale, Edie Mutwe and others are currently being persecuted by M7 and his son, Muhoozi M7, because of their political divergence from M7.
Lakwena, as you mentioned above, M7 has clearly stated that, 1. he is not a servant of anyone, 2. a mere paper shall never dislodge him from power, 3. M7 has rigged each and every elections since the beginning of time, to the extent that we all know the outcome of each and every bogus elections beforehand.
However, Kyagulanyi/NUP are [mis]leading us to believe that this is a protest vote in order to motivate us to continue going to bogus and violent elections. Polls clearly show that Ugandans no longer believe in bogus and violent elections because, the numbers are declining in each and every subsequent bogus and violent elections. So, why Kyagulanyi is misleading Ugandans that this is different from the “kiwanyi” [deceit] of last time!
If we cant protest now, how would we protest after M7 again rigs the next bogus and violent elections?
With clear knowledge that it would be a protest vote because of clear evidence that nothing would be different from the ordinary, why don’t we protest now?
Dr., Dr. Yusuf, after our 84-years-old PROBLEM OF AFRICA, Gen Tibuhaburwa finally told us off on 26th Jan 2017, that he is neither our SERVANT nor EMPLOYEE; 8 years down the road, who in his/her right state of mind, can still deny that: In cahoots with his foreign investors collaborators, whom he grants unlimited tax holiday; the crippling and suffocating taxes are but, politically motivated act of an IMPERIALISTIC, EXPLOITIVE and DOMESTIC COLONIALISM?
In other words, what Mr. M7 eventually and boldly told off Ugandans that day was what all along bottled up in his mind and heart, and which took him to the bushes of Luweero. Going to the bush was not because, there was a rigged 10th December 1980, General Election. The alleged rigged election was just a golden opportunity to avenge his resentment for constantly being label a Munyarwanda.
And mark you, the man has never come out to deny that stereotype.
Lakwena, I’m yet to read the article, however, captions are designed to tell what’s inside the article, “It is not just the crippling taxes, but the suffocating arrogance of its collectors.” If the crippling taxes were used to do what they’re meant for, in the 40 years of M7’s rule, Uganda would have one of, if not the best and admirable infrastructure in the world. In less than 3 years, NUP/Kyagulanyi bought land and built the state of the art NUP offices of all time. By design, NRM doesn’t own any party structure but use state house as its main office. It is the same reason why M7 has deliberately not built Uganda’s infrastructure. M7 is a power maniac and he knows that once NRM or [Uganda] has an infrastructure, power will slip out of his hands. So, M7 is using our taxpayers money to accumulate wealth and has built his power on his family, relatives, tribesmen and militants, who believe that Uganda is their property. Furthermore, and as Lakwena has alluded to, M7 has designed or made politics a business in which people make lots of money, not because they’re serving the nation/people but being served taxpayers money for doing nothing, because M7 owns Uganda. Hence, the bogus and violent elections. As entrepreneurs, Ugandan politicians are rick takers who’re only interest to make money. That’s why Kyagulanyi came after Besigye/FDC but not M7/NRM because, he knew that he cant win M7/NRM. As the leading opposition figure and NUP the leading opposition party in parliament, Kyagulanyi has made more money than he ever made in his life time. Thus the reason why he loves bogus and violent elections and hates Besigye with a passion.
Besides M7, this is why Kyagulanyi also hates Besigye with a passion, because Besigye is on record for saying that, “elections shall never change the presidency or the power.” “The presidency is where power is and M7 has made certain that presidential elections are different from any other elections, and can only be won by M7.” Kyagulanyi hate Besigye because, time and again Besigye has suggested that the opposition should abandon the bogus and violent elections, so that they can dislodge M7 then go back to elections politics in which every party is given a fair chance to win. Yet, Kyagulanyi is only intersted in maintaining the status quo, bogus and violent elections in which M7 is the only winner known beforehand!
This is what Kyagulanyi told us initially, “Go get “ndaga muntu” [IDs], go and vote, and leave the rest to me.” Because Kyagulanyi wants to maintain his and NUP leading position, now, the same Kyagulanyi is telling us to go and vote and then protest afterwards! At the same time, Kyagulanyi is urging the youths to stand for elective positions, so that NUP could increase their numbers in the opposition!
Kyagulanyi clearly knows that ever since he stood against M7, things have worsened and won’t change, because of the coming 2026 elections. That’s why he has come up with the bogus theme of the protest vote, as if this would be the first time M7 to rig the bogus and violent elections!
Doc, M7 owns Uganda outright. Giving it to foreigners is strategic because, they don’t have any attachment to it or feeling about Uganda, but only interested in milking it. So, foreigners don’t care about how Uganda is governed as long as they make money, especially the Chinese and Indians! Foreigners are untouchable! M7 has given them capital, which is the [crippling] taxpayers money, and dolling out our land for free, yet he claims that they are investors! Natives Ugandan’s businesses are falling apart and closing down due to crippling taxes, unbearable rent from own buildings and malls and mostly those in govt or their proxies [like Ham Kigundu & others], water and electricity insurmountable charges, including but not limited to charging to use toilets, and renting out parking space for customers! In other words, M7 has left no room for natives to survive in any business. To survive in Uganda today, one has to join politics. That is why Kyagulanyi and others are hooked up on bogus and violent elections!