Traders represented by the Kampala City Trader’s Association (KACITA) have lodged a petition with the Opposition Leader of Parliament, citing exorbitant taxes linked to the Electronic Fiscal Receipting and Invoicing Solution (EFRIS). Thaddeus Musoke Nagenda, chairperson of KACITA, along with executive officers, presented the petition to Joel Senyonyi, urging the government to halt the implementation of EFRIS due to its complexity and potential adverse effects on businesses.
The traders locked their shops as a way of raising awareness about what they described as highhandedness of URA and double taxation.
The Electronic Fiscal Receipting and Invoicing System was rolled out by the Government on July 1, 2020 as a smart solution for issuance of electronic invoices/ receipts in respect to business transactions for taxation purposes.
EFRIS was initiated to curb various challenges including unfair tax assessment, missing or improper business records, unfair business competition, invoice trading/ fictitious or fabricated invoices, lengthy tax audits, poor taxpayers’ record keeping and complex tax procedures such as tax return submissions among others.
Traders described EFRIS as double taxation, saying that they don’t understand the automated sale records and levy system.
Nagenda emphasized the need for the Uganda Revenue Authority (URA) to diversify tax collection points, advocating for a more equitable distribution across various business hubs rather than concentrating solely on downtown areas. Additionally, he called for a reduction in the number of government agencies, departments, and ministries, citing excessive administrative costs that burden Ugandan taxpayers.
In response, Joel Senyonyi, the Leader of the Opposition, assured the traders of his commitment to presenting their grievances to the Speaker of Parliament. He pledged to advocate for their cause within the parliamentary framework and urged the traders to engage in peaceful demonstrations by temporarily closing their shops until their concerns are addressed by the government.
