NELSON K
The Uganda Revenue Authority (URA) on Tuesday convened a meeting with VAT-registered taxpayers in Rukungiri to educate them about the Electronic Fiscal Receipting and Invoicing Solution (EFRIS). The session, held at the New Palm Royale Hotel, was led by URA representatives Isaac Aijuka and Olivia Nanyonyo from the Tax Education Department in Kampala.
The meeting targeted large wholesale businesses generating an annual turnover of UGX 150 million or a monthly turnover of UGX 35 million, aiming to enhance compliance with the EFRIS policy. EFRIS, introduced by the government, is an online invoicing system designed to simplify tax compliance for VAT-registered taxpayers.
In his address, Aijuka emphasized URA’s role in mobilizing government revenue to support infrastructure development and civil servant funding. He highlighted plans to decentralize services by engaging taxpayers in different regions to bridge the distance from Kampala. Aijuka explained that taxpayers are expected to remit taxes based on their earnings, stressing that businesses operating at a loss are exempt from taxation.
“URA’s mission is to ensure fair revenue collection to support government operations. We aim to simplify the process for taxpayers and encourage regional participation in revenue mobilization,” Aijuka said.
Nanyonyo, who led the sensitization on EFRIS, explained its functionalities and benefits, emphasizing its role in promoting transparency and efficiency in tax collection. She elaborated on how the 18% VAT is calculated by deducting input VAT from output VAT and answered questions from attendees about the system’s operation.
“EFRIS is a new initiative that requires internet connectivity to access invoices or a mobile app to manage transactions. It helps avoid penalties, reduces unfair competition, and ensures proper record-keeping,” Nanyonyo noted.
She also highlighted penalties for non-compliance, which include a penal tax of up to UGX 6 million, underscoring the high cost of evading the system.
The meeting concluded with a discussion on the advantages of EFRIS, including minimizing tax evasion, ensuring equitable competition, and preventing unnecessary payments to incorrect recipients. URA urged participants to embrace the system and contribute to national revenue growth.
The EFRIS policy applies to businesses with an annual turnover of UGX 150 million and above or a monthly turnover of UGX 35 million, aiming to enhance Uganda’s tax administration and accountability.
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