The Ministry of Finance, Planning and Economic Development has asked Parliament to approve tax waivers worth more than Shs16.8 billion for three organisations facing financial difficulties.
The requests, presented by the Minister of State for Finance (General Duties), Hon. Henry Musasizi, during Tuesday’s plenary sitting chaired by Deputy Speaker Thomas Tayebwa, seek tax remissions for the Uganda Printing and Publishing Corporation (UPPC), K-Roma Limited, and Ankole Western University.
The applications are made under Section 43(2) of the Tax Procedures Code Act, which allows the Minister of Finance, with Parliament’s approval, to remit taxes where the Uganda Revenue Authority (URA) determines that recovery is not feasible due to a taxpayer’s financial hardship.
The largest request is for UPPC, which is seeking a waiver of more than Shs13 billion. According to the ministry, the state-owned corporation has experienced a sharp decline in revenue, dropping from Shs19 billion to Shs8 billion, and later to Shs6 billion, reflecting operational challenges.
The ministry also noted that over 90 per cent of the corporation’s clients are government entities, many of which have delayed payments, with more than half of the outstanding receivables overdue by over a year.
In addition, UPPC’s obsolete printing machinery has affected its productivity and competitiveness, resulting in the loss of business to lower-cost private printers.
The ministry is also seeking a tax waiver of Shs1.8 billion for K-Roma Limited, a local manufacturer of Bella Wine.
According to the ministry, the company’s financial position has deteriorated significantly over the past three years, with cash reserves declining from Shs13 million in 2023 to Shs4.3 million in 2025. The company attributes its financial struggles to declining sales in the post-COVID-19 business environment and the financial pressure of developing its allocated land in the Namanve Industrial Park to avoid repossession by the Uganda Investment Authority.
A third request seeks to waive approximately Shs1 billion in taxes owed by Ankole Western University.
The ministry said the university’s financial challenges stem from a religious and political dispute within the Ankole Diocese between 2013 and 2015, which led to governance conflicts and the existence of parallel university councils. The institution also suffered declining student enrolment following the COVID-19 pandemic, forcing it to restructure loans and increasing its financial burden. As of December 31, 2025, the university’s debt stood at more than Shs2.8 billion.
However, several Members of Parliament questioned the criteria used by the government to determine which companies qualify for tax waivers.
Hon. Gonzaga Ssewungu, MP for Kalungu County West, called on the ministry to explain the process, noting that many businesses across the country are facing similar financial hardships.
Similarly, Hon. Patrick Oshabe, MP for Kassanda North County, questioned the basis for recommending a waiver exceeding Shs13 billion for UPPC when an audit reportedly covered Shs8.5 billion.
“We need to have a discussion on who qualifies for waivers. We need to bring on board the audit process when making these considerations and also consider all the other companies and not just a few,” Oshabe said.
In response, Minister Musasizi assured Parliament that the ministry would provide comprehensive guidelines on how taxpayers can qualify for tax waivers.
“We will provide details on how taxpayers can get waivers. It is good for transparency because we hold these roles in trust of the people who put us in these offices. It is authentic to know what we are doing,” Musasizi said.
Deputy Speaker Thomas Tayebwa referred the requests to the Committee on Finance for scrutiny before Parliament makes a final decision.
