KAMPALA – Presidents of various Professional Associations in Uganda have objected to the levy of UGX 100,000 as Stamp Duty on payment of a professional licence or certificate.
This came after the parliament’s approval of the Stamps Duty amendment bill on Tuesday, April 14, 2020. On this date, it was proposed that every professional offering professional services, is to pay a stamp duty of UGX 100,000 for a professional licence or certificate.
However, representatives of Professional Associations, have opposed the amendment of this bill saying that currently, acquisition of a professional licence or certificate by different professionals, is already subject to payment of the professional licence fees.
“Your Excellency, professionals are already obliged to pay prescribed multiple fees for practice of their profession under their enabling legislation,” read part of a statement in a letter addressed to the President Yoweri K Museveni, dated April 20, 2020.
In addition, the representatives also pleaded that principles of taxation should be taken into consideration since a tax should be fair, affordable, compatible, convenient and double taxation be avoided as much as possible.
“The payment of the proposed UGX 100,000 (One hundred thousand shillings) as stamp duty by professionals is tantamount to double taxation and violates the principles of taxation,” stated the representatives.
In relation to the above, the representatives of Professional Associations therefore, stand in opposition to the proposed tax and propose that the tax be dropped.
They also propose that government should consider harmonizing the different tax regimes to avoid multiple taxation.
