By Mubiru Ivan
President Yoweri Museveni has tasked the Uganda Revenue Authority (URA) to fix the gaps in tax collection so that the country can gain financial independence and stop borrowing money to finance its budget.
The President made the remarks at the first Science Model Workshop organized by URA and Africa Tax Administration Forum (ATAF) at Speke Resort Munyonyo, in Kampala.
“We do not collect enough taxes and have budgets from begging. When you borrow, you lose both respect and money as you pay back more than you borrowed. If you pay with your own money for road construction, you only pay for the cost of the road but if you borrow, you must pay interest too,” he said.
Museveni revealed that it was a shame for Africa to be known as a continent of beggars after 5 million years of the existence of the human race.
“Even the most primitive societies depend on themselves: animals hunt and use the skin as clothing but Africa for the first time in human history, is still is a continent of people acknowledged as beggars,” he said.
“Even after independence, Africa is still under slavery in form of neo-colonialism due to insufficient resources where countries have to run their economies through begging,” he added.
Museveni, therefore, called for tax collection in Africa to be an instrument of liberation. He said that borrowing money has limited the growth of Africa and made Africa lose respect and money.
The President identified eight ways the Uganda Revenue Authority can use to ensure that people do not avoid taxes. These include use of scanners, electronic monitoring and stamping of goods from the factory of origin, electronic monitoring of telecoms, monitoring of electronic money transfers, input-output analysis, chemical analysis, head-mapping of the real estate sector and monitoring shop. The President said that URA should ensure that all entry posts namely land, railways and airports have scanners linked to the authority’s system. He added that goods coming into the country should have stamps from the factory of origin so that the authority can know the quality and value and tax accordingly.
On electronic money transfers, the President advised URA not to leave the role only to the Central Bank.
President Museveni also warned the real estate sector against colluding with tax collection officers and town planners to avoid taxes.
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