taxable persons and both parties notify the Commissioner-General within 21 days of the transfer in writing of the details of the transfer.
The importation of parts as per the warranty agreement is subject to VAT at the standard rate of 18%. Services offered to foreign companies are considered exported services and are charged at the zero rate, provided the services are consumed outside Uganda.
Other indirect taxes
Import duties are taxes imposed on imported goods. There are different rates for COMESA (Common Market for East and Southern Africa, which includes Kenya, Tanzania, Mauritius, Rwanda, Burundi, Malawi, Zambia, Zimbabwe and Mozambique) and for the rest of the world.
The COMESA rates vary between 4% and 10%. For the rest of the world the highest import duties are 25%. In addition, all goods coming into the East African Community, of which Uganda is a member, are subject to the three-tariff band (0%, 10% or 25%), depending on the origin of the goods. The East African Community member countries include Uganda, Kenya, Rwanda, Tanzania and Burundi.
Excise duty is imposed on certain excisable goods, as well as on selected imported products. These products largely include spirits, soft drinks, beer, wine, cigarettes and tobacco, fuel, motor vehicles, sugar, colour TVs and certain other luxury goods.
Excise duty is also levied on airtime and talk time. The rates are 12% for mobile telephone services whereas the rate for fixed lines is 5%.
Communication House 1 Colville Street Kampala
PO Box 8053 Kampala Uganda
Contact details – PricewaterhouseCoopers, Uganda
PwC contact persons
Plaxeda Namirimu Bernard Baingana
Senior Manager Consultant
Motor vehicle fees
Fees are levied on the registration and transfer of ownership for motor vehicles. Annual road licence fees were scrapped.
Stamp duties are charged on various legal documents and agreements, such as:
bills of exchange, promissory notes and bonds;
marketable securities, including debentures;
the sale, conveyance, mortgage and lease of any property situated in Uganda; and
Stamp duty is payable within 30 days of the execution of the instrument (if executed in Uganda), and within 30 days of arriving in Uganda (if executed outside Uganda).
+256 (041) 4 236018
+256 (031) 2 354400
+256 (041) 4 230153