By : Namutamba Esther
The Members of Kampala Rice traders Association have threatened to sue the tax body, the Uganda Revenue Authority( URA) over the proposed 18% tax levied on rice imported from Tanzania.
According to the Associations’ Secretary Robert Ssentongo, “they will also demand to be paid billions of shillings for the spoiled rice after URA impounded their rice trucks for 2 weeks.”
While protesting the payment of this new tax, the Traders claim that, “it is not provided anywhere in the provisions of the East African Community Treaty.”
The traders are also concerned with the consumer who may have to pay a heavy price for a kilogram of rice if the new import duty and VAT of 75% is maintained.
Some of the traders who turned up in a press briefing in Kampala have explained how they travel to Tanzania and import some of the indigenous types of rice but Uganda Revenue Authority lacks experts to tell if the rice is from East Africa.
The traders say, the machine procured by URA to detect the rice from Tanzania, is not competent having tricked it with rice from Uganda which if falsely confirmed to be Pakistan.
They now call upon URA to work along with them so as to solve the pending issue rather than using threats with huge taxes .