MPs waive VAT on medical items
Sep 17, 2006
Parliament has scrapped Value Added Tax (VAT) on medical gloves and hand sanitisers in a move to make medical services more affordable for the poor and to improve health services.
By John Odyek & Joyce Namutebi
Parliament has scrapped Value Added Tax (VAT) on medical gloves and hand sanitisers in a move to make medical services more affordable for the poor and to improve health services.
The House passed the Value Added Tax Amendment Bill, 2006 that also removed taxes on ceramic insulation materials.
William Nsubuga, the chairman of the committee on the national economy, presented the report.
He said ceramic insulation materials were of two kinds: the laminating insulation and acrylic polymers, which help in conserving energy, creating resistance to fire and extending life of any surface by reducing corrosion and rust formations.
The House, in a move to support the rural poor in constructing cemented houses, voted overwhelmingly in favour of removing excise tax on cement.
The excise tax on cement are contained in the Excise Tariff (Amendment) Bill, 2006.
The House passed the bill which sought to reduce excise duty on landlines and public pay phones from 5% to 3%.
It also reduced excise tax on beer brewed from locally grown sorghum from 30% to 20%.
Nsubuga said, “The introduction of excise duty of sh500 per 50kg of cement will be detrimental to the construction industry. The objective is to see that people, especially in rural areas, live in cemented houses.â€
However, finance state minister Omwony Ojwok argued against removing the cement tax, saying the Government would lose revenue of sh7.6b.
But when the Speaker, Edward Ssekandi, put the matter to vote, the House voted in favour of removing the taxes.
Parliament has scrapped Value Added Tax (VAT) on medical gloves and hand sanitisers in a move to make medical services more affordable for the poor and to improve health services.
The House passed the Value Added Tax Amendment Bill, 2006 that also removed taxes on ceramic insulation materials.
William Nsubuga, the chairman of the committee on the national economy, presented the report.
He said ceramic insulation materials were of two kinds: the laminating insulation and acrylic polymers, which help in conserving energy, creating resistance to fire and extending life of any surface by reducing corrosion and rust formations.
The House, in a move to support the rural poor in constructing cemented houses, voted overwhelmingly in favour of removing excise tax on cement.
The excise tax on cement are contained in the Excise Tariff (Amendment) Bill, 2006.
The House passed the bill which sought to reduce excise duty on landlines and public pay phones from 5% to 3%.
It also reduced excise tax on beer brewed from locally grown sorghum from 30% to 20%.
Nsubuga said, “The introduction of excise duty of sh500 per 50kg of cement will be detrimental to the construction industry. The objective is to see that people, especially in rural areas, live in cemented houses.â€
However, finance state minister Omwony Ojwok argued against removing the cement tax, saying the Government would lose revenue of sh7.6b.
But when the Speaker, Edward Ssekandi, put the matter to vote, the House voted in favour of removing the taxes.