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Uganda Co-operatives accuse URA of forcefully taxing SACCOs

Thursday July 04 2024

Members of the Uganda Co-operative Savings and Credit Union Limited (UCSCU), an apex body of savings and credit cooperatives, have accused the Uganda Revenue Authority (URA) of forcefully taxing SACCOs. They argue that SACCOs were exempted from paying income tax and withholding tax on members' dividends in 2017 to support their institutional capital building.

Jalia Lukumu, Chairperson of UCSCU, criticized these taxes as unfair. However, URA asserts that all taxes levied on SACCOs are legally justified.

IN SUMMARY

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Members of the Uganda Co-operative Savings and Credit Union Limited (UCSCU), an apex body of savings and credit cooperatives, have accused the Uganda Revenue Authority (URA) of forcefully taxing SACCOs. They argue that SACCOs were exempted from paying income tax and withholding tax on members' dividends in 2017 to support their institutional capital building.

Jalia Lukumu, Chairperson of UCSCU, criticized these taxes as unfair. However, URA asserts that all taxes levied on SACCOs are legally justified.

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