KAMPALA, UGANDA — In a significant move aimed at improving voluntary tax compliance and supporting economic recovery, the Government of Uganda, through the Uganda Revenue Authority (URA), has announced a fresh tax amnesty that waives 100% of interest and penalties on unpaid taxes provided the principal is fully cleared by June 30, 2026.
The relief, introduced under the amended Tax Procedures Code Act, comes as many businesses continue to grapple with the long-term effects of the COVID-19 pandemic, which disrupted operations and led to missed tax obligations for thousands of taxpayers.
“This measure is about building trust between taxpayers and government,” said URA Commissioner General John Musinguzi. “We want to encourage voluntary compliance, not just enforcement. Many businesses missed the last waiver deadline in January 2025 this extension is their second chance.”
According to URA’s public notice, the tax waiver includes 100% interest and penalty relief for taxpayers who settle all outstanding principal tax incurred up to June 30, 2024, by June 30, 2026. Those who make partial payments will receive a pro-rata waiver, while interest accrued between July 1, 2024, and the actual payment date is also covered. The waiver applies only to domestic tax obligations, excluding customs duties. It will be applied automatically once payment is made and reflected in the taxpayer’s TIN account. Taxpayers with missing returns are encouraged to file and pay to benefit from the relief.
Musinguzi emphasized that this will be the final tax amnesty, with no further extensions planned beyond the 2026 deadline.
The business community has largely welcomed the announcement. “This is a good opportunity worth taking up. I appeal to my colleagues to take advantage of it,” said Denis Mugabi, a trader in downtown Kampala.
Samuel Kakeeto, a merchant in Kikuubo, echoed the sentiment, saying, “I like that it has come early in the financial year it gives us time to plan.”
In Wandegeya, Edgar Ssenkumbi noted that although he missed out on the previous waiver, he is committed to utilizing the current one. “This time, I will not miss this opportunity,” he said.
Eligible taxpayers can check their outstanding balances via the URA online portal or visit the nearest tax office for support. The URA has reiterated its call for all taxpayers to take advantage of this final opportunity to clear their obligations and support national development.