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Graduated Tax Could Be Re-Introduced in Uganda
Local government leaders from Eastern Uganda have called on government to reintroduce graduated tax to boost the local revenues collected from their areas.
The leaders voiced their request while attending the parliamentary outreach forum organized by the speaker of parliament Rebecca Kadaga at Elgon hotel in Mbale.
The leaders argued that the funds their local governments receive from the centre are not adequate to cater for numerous needs by the voters.
They explained that over 90% of their budgets are funded by the central government something which have eroded the meaning of decentralization which is to empower local areas.
Leader after leader pointed out the fact that money from the central is conditional which limits the local governments to attend to certain projects of critical importance to the unique needs of different areas.
Graduated tax was suspended in 2000 for 10 years after which government promised to review whether to reintroduce it or not.
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