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UCC Proposes Telecom Tax Cuts to Boost Uganda’s Digital Economy

  • Uganda’s telecom sector faces multiple overlapping taxes, including excise duty on data, VAT, mobile money withdrawal levies, and import duties on devices and equipment.
  • A UCC-commissioned study says this tax burden is suppressing broadband adoption, raising prices, and limiting the digital economy’s growth.
  • It recommends cutting excise duty on data and airtime from 12% to 5% and reducing VAT on mobile data from 18% to 14%, with possible further VAT removal later.
  • The report also calls for tax relief on affordable smartphones and infrastructure incentives, especially for rural network expansion.
  • It suggests treating internet access as an essential public service to support education, finance, healthcare, and innovation.

Source: techafricanews.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.



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