October 20, 2019

Uganda imposes tax on social media use

Uganda’s parliament has passed a law to impose a tax on people using social media platforms.

The parliament voted to impose a 200 shillings [$2.00] daily levy on everyone who uses internet social media platforms like Facebook, WhatsApp, and  Twitter.

President Yoweri Museveni had earlier pushed the law, arguing that social media encourages gossip.

The law will become effective on 1 July but doubts still remain on its implementation.

The new Excise Duty (Amendment) Bill will also impose various other taxes, including a 1% levy on the total value of mobile money transactions – which civil society groups complain will affect poorer Ugandans who rarely use banking services.

State Minister for Finance David Bahati told parliament that the tax increases were needed to help Uganda pay off its growing national debt.

Source: The Star