BY S KWAGALA: In a bold move reflecting growing discontent, shops in downtown Kampala remained closed this morning as traders anticipated a crucial meeting with President Museveni to resolve a dispute revolving around Value Added Tax (VAT) assessments.
“The economy is being donated to foreigners, this is unfortunate, so we thought bringing in the Wanaichi will help. We are not ready to be intimidated, we have a cause,” declared Thadeus Musoke, Chairperson of the Kampala City Traders Association (KACITA) on an NTV show this morning.
Central to the dispute is the implementation of the Electronic Fiscal Receipting and Invoicing System (EFRIS), with traders expressing vehement opposition. “We are rejecting EFRIS because we have benchmarked from different countries,” voiced one trader, echoing sentiments shared across the commercial landscape.
The standoff resonates beyond the confines of commerce, drawing attention from lawmakers and citizens alike. Shamim Malende, the Woman MP representing Kampala, emphasized the broader ramifications of the traders’ struggle. “The issue of excessive taxation affects us all. Even if we’re not directly involved in trade, we rely on these individuals for our purchases,” she articulated, underlining the interconnectedness of economic activities.
Malende further stressed the importance of solidarity in addressing systemic challenges. “When the traders’ issues are mishandled, the entire country feels the impact as they employ numerous people,” she remarked, emphasizing the need for collective action in advocating for fair policies.
The controversy has prompted a wider reckoning with Uganda’s fiscal governance. “It’s time for Uganda to pause and reflect on how tax laws are passed in this country, and to reevaluate tax collection methods,” urged Malende, calling for a comprehensive review of existing frameworks.
Musoke also shed light on the decision to suspend operations. “As leaders, we’ve chosen not to interfere in the traders’ decisions. Feeling ignored by the president, traders have opted to suspend operations and gather at Kololo,” he explained, highlighting the symbolic significance of the protest in illustrating the concerns of ordinary Ugandans.
He noted; “Ugandans often assume meeting the president results in receiving a brown envelope. We have been reassuring Ugandans that despite our numerous meetings with the president, he hasn’t provided envelopes to traders.
To be more strategic, we’ve have decided to involve our members to intensify efforts in engaging the government, especially since they are hesitant to address certain challenges.”
As the impasse persists, all eyes are on the forthcoming meeting between President Museveni and the aggrieved traders, with hopes pinned on a resolution that addresses their grievances and steers Uganda’s economy towards stability and inclusivity.