Uganda Revenue Authority (URA) has dismissed reports that it plans to impox a tax on the monthly donations to Mengo known as “Luwalo.”
“Luwalo lwo’ is a monthly collection by Kabakas subjects where different individuals willingly contribute to the kingdom well being through their chiefs.
While meeting the Katikkiro Charles Peter Mayiga at Bulange Mmengo , the URA Commissioner General John Musinguzi said there is no way taxes would be charged on mere collections from individuals.
He said URA taxes businesses not collections as Luwalo.
Late last year while at Bulange, the Katikkiro said her had heard reports about taxing Luwalo.
URA contributed Shs 5 million to Buganda coffers.
Mayiga, on his part urged the people of Buganda to pay taxes and register their businesses to aid in the development of the country.
Last year Buganda collected more than Shs 1.5 billion in Luwalo. Luwalo replaced ‘ettaffaali’ where Katikkiro used to reach out to people and communities to make contributions. In this case it’s the people who come to the kingdom to contribute money to her many causes.
