Uganda wants to change how people pay taxes. The government plans to use national ID numbers as tax ID numbers for everyone. This idea comes from a new bill that went to Parliament on March 25. If approved, these changes would start next July.
The bill says all Ugandans must use their national ID number when they pay taxes. Companies will use their business registration number instead. People from other countries can still use tax numbers from their home nations if Uganda has a tax deal with them. Government offices would stop giving licenses to anyone without the right ID numbers.
Uganda faces big problems collecting enough money from taxes. The tax office needs to bring in 29.7 trillion Ugandan shillings this year. Every year, about 5 trillion shillings vanish because people dodge taxes or move money illegally. The tax office started using new computer systems from Global Voice Group to catch more cheaters.
Many small cash businesses never pay taxes because the system can't track them. The new bill tries to fix this by making sure all companies appear in one central list. Every tax form would need the right ID number. Finance Minister Matia Kasaija brought this bill forward as part of a plan to collect more money and cut down on cheating.
Some people worry about how this will work in country areas where many citizens can't easily get national ID cards. Community groups want more ID sign-up centers and better protection for personal data before the law starts. This bill marks a big step as Uganda tries to go digital and collect more tax money from inside the country.
The bill says all Ugandans must use their national ID number when they pay taxes. Companies will use their business registration number instead. People from other countries can still use tax numbers from their home nations if Uganda has a tax deal with them. Government offices would stop giving licenses to anyone without the right ID numbers.
Uganda faces big problems collecting enough money from taxes. The tax office needs to bring in 29.7 trillion Ugandan shillings this year. Every year, about 5 trillion shillings vanish because people dodge taxes or move money illegally. The tax office started using new computer systems from Global Voice Group to catch more cheaters.
Many small cash businesses never pay taxes because the system can't track them. The new bill tries to fix this by making sure all companies appear in one central list. Every tax form would need the right ID number. Finance Minister Matia Kasaija brought this bill forward as part of a plan to collect more money and cut down on cheating.
Some people worry about how this will work in country areas where many citizens can't easily get national ID cards. Community groups want more ID sign-up centers and better protection for personal data before the law starts. This bill marks a big step as Uganda tries to go digital and collect more tax money from inside the country.
