Uganda Revenue Authority in a statement have registered an increase in revenu collection.
In the FY 2020/21, URA collected net revenue of UGX 19,263.00 billion and posted a growth in revenue of 14.99% in comparison to the FY 2019/20 and an estimated tax to GDP ratio of 12.99 percent the outturn of the FY 2020/21 is short of the target of UGX 21,638.65 billion by UGX 2,375.65 billion . According to John, the target was approved by Parliament before the impact of Covid-19 set in and macroeconomic variables that affect revenue
The domestic revenue collections in the FY 2020/21 were UGX 12,144.01 billion, registering a growth of 13.71% (UGX 1,464.19 billion in real terms)
In the FY 2020/21, customs revenue collections were UGX 7,505.86 billion against a target of UGX 8,001.35 billion, registering a significant growth of 16.43% (UGX 1,059.27 billion) in comparison to FY 2019/20. However, the collections were UGX 495.48 billion below target.
VAT on imports managed to collect most of the revenue with 2,832.47 Billion while petroleum was second with 2,453.38 Billion, Import Duty, 1,403.12 Billion and others collecting 816.89 Billion in terms of revenue collection.
In FY 2020/21, 71% of the revenue was generated from the top 4 sectors. The wholesale and retail trade sector had the biggest contribution, which amounted to UGX 5,783.69 billion (29.43%). The manufacturing sector followed with a contribution of UGX 4,461.29 billion (22.70%). The Information and communication sector contributed UGX 2,059.83 billion (10.48%), while UGX 1,643.54 billion (8.39%) was generated from the financial and insurance services sector.
In regards to the EAC region, URA had the highest year on year revenue growth (14.99%). Tanzania collection in FY 2020/21 was less than that collected in FY 2019/20 by 0.1%. Kenya, Burundi and Rwanda Revenue Authorities met their targets in the FY 2020/21, “but it should however be noted that these were set in consideration of the Covid-19 impact”. John said.
URA managed a debt recovery of UGX 1,024.38 billion mainly attributed to Alternative dispute resolution (ADR) whdre issues are settled out of court and Digital Tracking Solutions (DTS) and the Electronic Fiscal Receipting Solution (EFRIS).
