By Kabuye Ronald
Traders under their umbrella body Kampala City Traders Association -Uganda – KACITA-U has asked Uganda Revenue Authority -URA to urgently reserve their directive to have motor vehicle dealers conduct the clearance of motor vehicles and payment of taxes at the port of Mombasa.
On Friday, URA issued a notice to motor vehicle dealers directing them to call conduct final clearance done at the port of entry that is either Mombasa or Dar-es-Salaam effective July 1st 2022
KACITA- U Acting Chairman Thadeus Musoke Nagenda told the journalists at their offices in Kampala that most of Ugandans wont afford having cars while over 3000 people employed by the industry will lose jobs once the directive is implemented by URA.
He also adds that 95% of Ugandan buy these vehicles on installments while others can’t afford to buy bonded vehicles.
“About 95% of Ugandans are paying for cars in installments, while many others cannot even afford to buy these vehicles on the market. This has been possible under the warehousing regime which allows vehicles importers to ware house them for 270 days” said Nagenda.
The publicity secretary of the Associated Motor Vehicle Dealers, Marvin Ayebale questioned how URA expects them to remit revenue if they are not able to sell their vehicles to pay taxes as it has been the case with the Ware houses whose managements have been allowing them to sell vehicles to their customers while still in the warehouse which enabled
In their notice issued on Friday, URA stated that in pursuant to section 60(A) of the East African customs management registration 2010, effective 1st July, motor vehicles nine or more years from the date of manufacture, shall no longer be cleared under the warehousing regime.
