PAC Quiz Arua hospital administration over PAYE

By Francis Lubega

28^th July 2022

Members of Parliament on the Public Accounts Committee-Local Government have grilled the officials from Arua Referral Hospital over non-deduction of Pay as You Earn-PAYE from the hospital management board members.

While referring to the Auditor General’s report for the Financial Year 2020/21, the MPs on the committee chaired by Tororo district Woman MP Sarah Opendi, found out Arua hospital never deducted PAYE from the hospital board members which amounted to 10 million.

The former Executive Director Arua Hospital Dr. Filbert Nyeko told the committee that it’s not true that they denied to deduct PAYE from the board members of the hospital but the monthly pay to those members was 200,000/= each which was below the taxable fee of 235,000/=.

The committee also grilled the Dr. Nyeko and his team on why there was none or delayed remittances of the hospital staffs in the months of April last year which is amounting to 16.4 million shillings.

In explanation Nyeko told the committee that the delay was caused by by IPPS system failure which got resolved and that now deductions are paid concurrently.

Using the same auditor general’s report MPs found out that there was wrong computation of gratuity and pension with over payments of 21.7 million and under payment of 19.7 million on gratuity and on pension benefit there were over payment of 5.79 million shillings and under payment of 10.4 million.

The hospital management explanation failed to convince the committee and they directed the committee directed them to go back and come back on Monday next week with proper explanation and evidence and also asked them to bring other explanations of the queries which have been left pending.