PSFU, URA Call for Calm and Dialogue Amid EFRIS Concerns

The Private Sector Foundation Uganda (PSFU), in collaboration with the Uganda Revenue Authority (URA), have issued a joint call for calm and sustained dialogue among all stakeholders to bolster business.

In recent weeks, some sections of the business community have been planning closure of shops and businesses, and demonstrations over alleged unfair enforcement of Electronic Fiscal Receipting and Invoicing Solution (EFRIS).

EFRIS is an automated compliance mechanism established by URA to oversee the allocation and centralized tracking of invoices and receipts among specified taxpayers in Uganda. It facilitates real-time transfer of transaction details to URA for e-invoice generation upon transaction execution.

Sarah Kagingo, Vice Chairperson of the Board of Directors at PSFU, emphasized the importance of maintaining calm and fostering dialogue to avert potential disruptions and adverse effects on businesses.

She implored URA to “handhold businesses as opposed to cut-throat enforcement.”

“We acknowledge the several and protracted engagements between URA, Ministry of Finance, Planning and Economic Development and traders trying to resolve these issues amicably,” she articulated during a press conference in Kampala.

She also noted that PSFU acknowledges the evolving global, regional, and national tax administration frameworks, emphasizing that URA needs to cultivate buy-in from the business community before embarking on enforcement.

Kagingo also cited challenges related to digital literacy among the traders saying that they need business support services to adopt new technologies.

During a stakeholders’ meeting attended by representatives from various traders’ associations including KACITA, Uganda Manufacturers Association (UMA), UTEA, Uganda Cargo Consolidators, and Kampala Rice Traders Association, it was unanimously agreed that dialogue and engagement be fostered while approaches disruptive to businesses were discouraged.

Musinguzi Rujooki, URA Commissioner General, affirmed the tax body’s commitment to tax education aimed at simplifying EFRIS messaging. He disclosed plans for a collaborative initiative with PSFU to establish an office in Kikuubo, Kampala, to provide business support services encompassing technology adoption, filing of returns, and other tax-related matters.

Additionally, Rujooki emphasized URA’s willingness to address operational concerns surrounding enforcement, advocating for voluntary compliance and adoption.

Kagingo reiterated PSFU’s unwavering dedication to advocating for private sector interests and fostering a conducive environment for business growth.

PSFU is the apex body of the private sector in Uganda, with a membership of over 330 business associations and corporate bodies, a total of over 3 million individual businesses.