MTN leads taxpayers
Aug 08, 2006
Telecommunications giant MTN for the second year running came top of Uganda’s tax payers, a position they wrestled away from Shell Uganda last year,
Telecommunications giant MTN for the second year running came top of Uganda’s tax payers, a position they wrestled away from Shell Uganda last year, reports Paul Busharizi.
Meanwhile, thermal generator Aggreko International Projects Ltd muscled its way into the top 20 during their first year of operation.
However, Standard Chartered Bank fell out of the top 20 following a less profitable 2005 than the previous year. Stanchart’s tax bill came in at sh18.5b compared to the previous year’s sh25.9b.
MTN paid nearly sh30b more in taxes this year with corporation tax, local VAT and excise duties accounting for the bulk of the sh120b remitted to the treasury.
The South African-based company led in all categories except local excise duties where Uganda Breweries paid more than sh15b more and on withholding taxes on imports where MTN remitted sh195,500 compared to the 21st ranked Umeme Ltd which had a sh125m bill.
Shell, Uganda Breweries and Nile Breweries, which came after MTN in that order, also paid more in taxes than the previous year.
Aggreko and Kinyara Sugar Works broke into the top 20 tax payers for the first time.
Aggreko’s entrance into the top 20 tax payers was all the more impressive as they have been in operation in Uganda for barely a year.
Aggreko has just signed another deal to set up a 50MW power plant in Jinja to be commissioned by the end of the year.
The top 20 taxpayers between them pay about 40% of the revenues of the top 1,000 tax payers.
Interestingly, there were five companies with lower tax remittances than last year and they were all fuel selling companies.
Total recorded the largest drop remitting sh46.2b compared to last year’s sh56.2b. Caltex, Petro, GAPCO and Kobil also paid less in taxes in the just concluded financial year but to lesser degrees.
The manufacturing sector lagged behind services as the top tax paying sector with 12 service industries to eight manufacturers filling the top 20 spots.
About 1,900b was collected from the top 1,000 taxpayers which at a cursory glance indicates was dominated by service industries.
Petroleum companies dominated the top 20 with seven companies listed compared to three beverage firms, two breweries, two cement manufacturers and two telecommunications companies.
Meanwhile, thermal generator Aggreko International Projects Ltd muscled its way into the top 20 during their first year of operation.
However, Standard Chartered Bank fell out of the top 20 following a less profitable 2005 than the previous year. Stanchart’s tax bill came in at sh18.5b compared to the previous year’s sh25.9b.
MTN paid nearly sh30b more in taxes this year with corporation tax, local VAT and excise duties accounting for the bulk of the sh120b remitted to the treasury.
The South African-based company led in all categories except local excise duties where Uganda Breweries paid more than sh15b more and on withholding taxes on imports where MTN remitted sh195,500 compared to the 21st ranked Umeme Ltd which had a sh125m bill.
Shell, Uganda Breweries and Nile Breweries, which came after MTN in that order, also paid more in taxes than the previous year.
Aggreko and Kinyara Sugar Works broke into the top 20 tax payers for the first time.
Aggreko’s entrance into the top 20 tax payers was all the more impressive as they have been in operation in Uganda for barely a year.
Aggreko has just signed another deal to set up a 50MW power plant in Jinja to be commissioned by the end of the year.
The top 20 taxpayers between them pay about 40% of the revenues of the top 1,000 tax payers.
Interestingly, there were five companies with lower tax remittances than last year and they were all fuel selling companies.
Total recorded the largest drop remitting sh46.2b compared to last year’s sh56.2b. Caltex, Petro, GAPCO and Kobil also paid less in taxes in the just concluded financial year but to lesser degrees.
The manufacturing sector lagged behind services as the top tax paying sector with 12 service industries to eight manufacturers filling the top 20 spots.
About 1,900b was collected from the top 1,000 taxpayers which at a cursory glance indicates was dominated by service industries.
Petroleum companies dominated the top 20 with seven companies listed compared to three beverage firms, two breweries, two cement manufacturers and two telecommunications companies.