By Tumwine Byaruhanga
Finance Minister Henry Musasizi has asked Parliament’s Finance Committee to adopt amendments proposed by President Yoweri Museveni to the Income Tax (Amendment) Bill, 2026 and the Excise Duty (Amendment) Bill, 2026 after the two pieces of legislation were returned for reconsideration.
Appearing before the committee, Musasizi said the President’s proposals are intended to strike a balance between revenue mobilisation, economic growth, environmental protection and tax fairness, while maintaining the government’s original policy objectives.
One of the proposed changes concerns taxation of casino winnings. Museveni wants winnings from land-based casinos subjected to a 15 per cent withholding tax, bringing them in line with winnings from online casinos.
During Parliament’s earlier consideration of the Bill, lawmakers exempted winnings from land-based casinos from withholding tax. However, Musasizi said the exemption would create opportunities for tax avoidance and lead to revenue losses.
He told the committee that applying the 15 per cent withholding tax to land-based casino winnings is expected to raise about UGX 65 billion in the 2026/27 financial year.
The President also asked Parliament to reconsider the proposed increase in excise duty on single-use plastics. While Parliament had proposed raising the tax from 2.5 per cent to 25 per cent, Museveni argued that such a sharp increase would raise production costs, discourage investment, threaten jobs and reduce the competitiveness of local manufacturers.
The President further noted that affordable alternatives to single-use plastics are not yet widely available in Uganda.
Musasizi said the government’s revised proposal would still increase revenue by an estimated UGX 3 billion above current collections, while avoiding undue pressure on manufacturers.
“I therefore request this Committee to consider and adopt the amendment proposed by His Excellency the President,” Musasizi told the committee.
