Mukwano evades sh2b in taxes
MORE shocking revelations continued to unfold yesterday as a sh2b scam involving Mukwano Industries was exposed at the commission of inquiry into corruption in the Uganda Revenue Authority (URA).
By Milton Olupot
MORE shocking revelations continued to unfold yesterday as a sh2b scam involving Mukwano Industries was exposed at the commission of inquiry into corruption in the Uganda Revenue Authority (URA).
The commission chaired by Justice Julia Ssebutinde, heard that Mukwano oils and G.K. oils, both under the Mukwano group of companies, declared imported palm oil as crude, evading sh22,911,832,709b in taxes since 1996.
The Commissioner for Customs and Excise, Allen Kagina, said Mukwano had been asked to pay the money which was revealed in the audit for the accounts from 1996 to 2001.
She said URA disagreed with Mukwano Industries on the classification of the imports as to whether they were crude palm oil or crude palm olein or crude palm stearine. The last two attract different tariffs.
The URA Chemist, Geoffrey Tindimwebwa, yesterday said palm oil which has undergone a separation process would be taxed at the rate of 7% while one that has gone through fractionalisation would be taxed at a 15% rate.
Witnesses included the Ministry of Finance officials, Kiiza Kateteza and Moses Kaggwa. Others were Peter Malinga, Ben Muliro and Vicky Kamanguza from URA.
Ssebutinde, who is assisted by commissioners James Kahooza and Fawn Cousens, heard that while URA followed the Harmonised Commodity description and coding under the International Convention, the Ministry of Finance flouted the guidelines and failed to give specific descriptions of goods.
MORE shocking revelations continued to unfold yesterday as a sh2b scam involving Mukwano Industries was exposed at the commission of inquiry into corruption in the Uganda Revenue Authority (URA).
The commission chaired by Justice Julia Ssebutinde, heard that Mukwano oils and G.K. oils, both under the Mukwano group of companies, declared imported palm oil as crude, evading sh22,911,832,709b in taxes since 1996.
The Commissioner for Customs and Excise, Allen Kagina, said Mukwano had been asked to pay the money which was revealed in the audit for the accounts from 1996 to 2001.
She said URA disagreed with Mukwano Industries on the classification of the imports as to whether they were crude palm oil or crude palm olein or crude palm stearine. The last two attract different tariffs.
The URA Chemist, Geoffrey Tindimwebwa, yesterday said palm oil which has undergone a separation process would be taxed at the rate of 7% while one that has gone through fractionalisation would be taxed at a 15% rate.
Witnesses included the Ministry of Finance officials, Kiiza Kateteza and Moses Kaggwa. Others were Peter Malinga, Ben Muliro and Vicky Kamanguza from URA.
Ssebutinde, who is assisted by commissioners James Kahooza and Fawn Cousens, heard that while URA followed the Harmonised Commodity description and coding under the International Convention, the Ministry of Finance flouted the guidelines and failed to give specific descriptions of goods.