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BlackFacts Details

Uganda: Beverage Producers Want Govt to Bear Digital Tax Stamps Cost

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Beverage manufacturers want the cost of implementing Digital Tax Stamps (DTS) be met by the government.

A separate report presented to the Parliamentary Committee on National Economy by the local beverage manufacturers showed that the closure of bars, restaurants and social gatherings due to Covid-19 has cost government at least Sh25b in revenue in the last three months the industry would have otherwise generated.

The letter authored by the Executive Director of Uganda Manufactures Association (UMA), Mr Daniel Birungi, regarding the implementation of the DTS amidst the Covid-19 pandemic, indicated that industry's production capacity has reduced by at least 40 per cent and the sales' revenues declining by between 50 to 65 per cent.

With the rolling out of the DTS beginning next month, manufacturers of water, sodas, spirits, tobacco and wine among others, said they are not in position to bear the Shs15b cost, asking the government to pick up the bill as it had earlier indicated.

Uganda Manufacturer Association (UMA) in the letter, said it would like to emphasise that government continues to bear the cost of implementation.

Source: allAfrica.com
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