Civil society call for fairer taxes as 2027/28 budget process begins

What the report says

Businesses and civil society groups in Uganda are urging the government to widen the tax base and avoid placing heavier burdens on a small number of taxpayers as work begins on the 2027/28 national budget. The concerns, reported by The Independent Uganda from Kampala, centre on the need to raise domestic revenue more fairly while protecting economic activity, traders and consumers from taxes that may be too high or unevenly applied.

At a retreat organised by the Tax Justice Alliance Uganda, speakers from KACITA-Uganda, Oxfam Uganda and SEATINI Uganda said the current approach can leave sectors such as garment trade and import business facing multiple levies, while essential services like internet, mobile money, water and electricity also remain costly. They argued that tax policy should bring more eligible taxpayers into the system, improve administration and reduce reliance on a narrow pool of compliant businesses. The groups also questioned some tax exemptions and suggested that government should review whether they still serve a clear public purpose.

The article notes that the Ministry of Finance is expected to issue the first Budget Call Circular for 2027/28 by the end of September, which will formally launch budget preparation. It also places the debate in the context of declining international aid and concessional finance, making domestic revenue collection more important for funding public services and development. The piece says civil society submissions have influenced recent budgets, while broader disputes continue over Parliament’s role in tax policy and the balance between revenue raising and business-friendly taxation.