Government will generate sh8b from VAT on water. The move is to improve tax administration and generate revenues, finance minister, Maria Kiwanuka said Thursday.
Government will generate sh8b from VAT on water.
The move is to improve tax administration and generate revenues, finance minister, Maria Kiwanuka said Thursday.
“This measure will raise sh8 billion and details are contained in the VAT (Amendment Bill) 2013. This should not affect the prices paid by the majority of low-income consumers, as the price of a jerrycan from National Water and Sewerage Corporation (NWSC) will amount to about sh40 at communal taps," she said.
Expansion of withholding tax agents: Proposal widening the scope of withholding agents to capture non-compliant tax persons engaged in economic activities and not registered for income tax purposes. This measure is expected to generate sh5b. The details are contained in the Income Tax (Amendment Bill) 2013.
Tax and Revenue: The objectives of the various measures for the Financial Year 2013/14 are to raise revenues, enhance transparency in collection and enforcement, improve compliance and encourage investment.
No need to have new districts that have spiralled to more than double in the last two decades
Experience from the successful developing countries shows the importance of fiscally sustainable and well-functioning local governments for delivery of public services. Local governments have an advantage of being closer to the recipients of such services, but they may not use this advantage if they lack effective administrative structures and resources.
During the last two decades the number of district governments in Uganda has more than doubled. It is now time to implement reforms aimed at improving their performance, in particular increasing value-for-money in the services they provide.
This would involve bringing greater stability in the districts and intergovernmental system, enhancing its institutional design, and redesigning funding of the district governments.
VAT on water to raise sh8b