Kampala, Uganda | URN | Uganda Revenue Authority (URA) has announced a 14-day grace period for companies and individuals who have submitted fictitious returns to come forward and rectify or they are prosecuted. The grace period runs from November 14, 2019, to December 3, 2019.
This comes after URA noticed that a sizeable number of taxpayers had introduced fictitious entries in their accounts such as loans and related expenses to lower their tax bill.
Also, the tax body said some taxpayers were using multiple tax identification numbers to suppress earned revenues.
Some taxpayers filed nil income in the tax returns despite the information in the URA database showing they transacted and earned some income.
Several other companies and individuals were overstating interest expenses and purchases to up their costs so that they can lower the money they have to pay to URA.
The said companies and individuals are expected to use the said time to come forward and rectify their income tax returns, the tax collector said in a notice issued on Thursday, November 14.
URA has been aggressive in the chase for tax. In the first quarter of 2019/2020 financial year, the body hit a shortfall of Shs 500bn – a call for it to be harder on companies and individuals to get money.