Uganda procures Chinese firm for electronic tax invoicing

fin002 pix

Ms Patience Rubagumya Tumusiime, the Uganda Revenue Authority acting commissioner general. PHOTO | NMG


The Uganda Revenue Authority (URA) has procured the services of a Chinese firm Aisino Corporation to provide electronic tax solutions.

The Electronic Fiscal Receipting and Invoicing Solution, according to URA, seeks to mitigate tax administration shortfalls while promoting efficiency.

URA noted that it had challenges especially in tax administration including poor record keeping, fictitious VAT input tax invoices and incomplete disclosure of business transactions.

The solution, which will be rolled out in the 2019/20 financial year, will help to mitigate such challenges.

Deloitte defines Electronic Fiscal Receipting and Invoicing Solution as a commercial document with tax implications that are generated, expressed and transferred electronically.

Ms Patience Rubagumya Tumusiime, the URA acting commissioner general, said URA’s strategic focus is to maximise revenue yield from a current tax-to-GDP ratio of 13.8 per cent to 16 per cent by the end of the 2019/20 financial year.

Tax-paying culture

URA, she said, will leverage on technology to create a voluntary and compliant tax paying culture among businesses.

The new service to also expected to improve the URA-taxpayer relationship by expeditiously processing refunds, promoting transparency in declarations and in effect promoting tourism and investment.

A project team has been set up to ensure effective implementation and execution of works by Aisino Corporation.

Mr Jia Xiqiang, the Aisino Corporation general manager of overseas business, said they would deliver the project within the set time frames.

URA has in the past complained of non-compliant taxpayers who not only mis-invoice but also under-declare sales to evade taxes.