CSBAG appeals to government to revise its tax distribution

By Juliet Nalwooga

The Civil Society Budget Advocacy Group (CSBAG) is asking the government to revise its tax distribution across the various sectors.

This comes at the onset of the new fiscal year 2021/2022 with about seven new taxes coming into force to boost the revenue.

These include a 12 per cent levy on internet data that some economists say will increase the cost of production since most businesses have been shifted online.

Motorists will also pay a Shs100 tax on each litre of petrol and diesel, while landlords will also have to pay a 25 per cent levy on rental income tax among others.

Julius Mukunda, the Group’s Executive Director, says the taxes not only come at a trying time when the economy is under a partial lockdown as one of the measures to fight a deadly pandemic but there are also inequalities in the way they are distributed.