Uganda Parliament Approves Shs14.97 Billion Tax Waiver for UPPC and Ankole Western University

The Parliament of Uganda has approved a tax waiver worth Shs14.97 billion for the Uganda Printing and Publishing Corporation (UPPC) and Ankole Western University. The waiver was recommended by the Committee on Finance, Planning and Economic Development, which presented two reports to the parliament on November 12, 2026. The committee suggested waiving tax obligations of Shs13.9 billion owed by UPPC and Shs1.02 billion owed by Ankole Western University.

According to Gerald Nangoli, a member of the Committee on Finance, Planning and Economic Development, UPPC's tax arrears accumulated due to delayed payments from Ministries, Departments, and Agencies (MDAs). The MDAs owe UPPC Shs11.85 billion, with about half of the receivables outstanding for over a year. The committee recommended that the Minister of Finance issue a treasury circular directing MDAs to pay their debts to UPPC by the end of quarter three of the 2026/27 financial year.

However, some legislators opposed the tax waiver, arguing that UPPC could clear its tax obligations if MDAs paid their debts. Hon. Gyaviira Lubowa noted that if MDAs paid Shs11.85 billion, UPPC would have sufficient funds to clear its principal tax of Shs7.93 billion, and the penalty tax and interest would be waived automatically. Similarly, legislator Peter Okot argued that if the Ministry of Finance was going to support UPPC to recover its debts, there was no need for a tax waiver.

The committee also recommended a waiver of tax arrears, interest, and penalties for Ankole Western University, citing the university's severe operational disruption and voluntary staff arrangement during the Covid-19 pandemic. The university's tax arrears accrued due to systematic computation of Pay As You Earn during this period. The committee observed that enforcement actions by the Uganda Revenue Authority would result in the immediate closure of the university, disrupting studies of over 1,000 students and rendering staff unemployed.

The Minister of Finance, Henry Musasizi, stated that it was not realistic to fulfil the payments by the third quarter but committed to clearing them within three years. He emphasized that UPPC was a wholly-owned government entity and that it was the government's duty to support its operation. Musasizi asked whether the government had an obligation to keep UPPC in operation or to close it.

Some legislators suggested that funds collected by UPPC from accumulated receivables of MDAs should be paid directly to the government. Others noted that other government agencies, such as the National Water and Sewerage Corporation, were facing similar challenges with MDAs refusing to pay for services rendered.

The tax waiver aims to support the operational viability of UPPC and Ankole Western University. The committee's recommendations were approved by the parliament, providing relief to the two entities.

Key points

• The Uganda Parliament has approved a Shs14.97 billion tax waiver for UPPC and Ankole Western University.
• The tax waiver aims to support the operational viability of the two entities.
• The committee recommended that MDAs pay their debts to UPPC by the end of quarter three of the 2026/27 financial year.