MPs, Minister Kasaija disagree on new proposed Road safety amendment bills

By Francis Lubega

7^th April 2021

Members of Parliament on the Parliamentary Finance committee have failed to build consensus with the Minister of Finance on the new proposed Road Safety Amendment bills especially on the road license.

This was after the ministry proposed a 200,000/= annual tax on vehicles depending on the type of a car and 50,000/= on motorcycles which MPs have challenged saying Ugandans are already paying the road license fee embedded on every liter of fuel consumed by a car.

The MPs also oppose the direct tax saying in most cases it attracts resistance from the public.

Meanwhile, they have also objected to the excise duty tax amendment proposal of introducing a 30% tax on both locally manufactured alcohol and other beverages.

On this, MPs said that this will affect the growth of local factories and also contributing to unemployment contrary to government’s Buy Uganda Build Uganda-BUBU policy.

MPs further hesitated to support the 20% increment on data saying this makes Uganda to have the highest cost of internet in the East African region.

However, in the coming financial year the government has proposed to scrape off OTT of 200/= tax and shift the cost to data which MPs say will affect the youths who have been transacting business on the internet causing more unemployment.

Meanwhile the committee seemed to be supportive to the proposal of imposing 70,000/= on every kilo of fish Mow exported though Mp Robert Migadde representing people of Buvuma Island opposed it saying it will affect the fishing sector.