Uganda’s government intends reviewing the controversial social media tax law that has been hugely criticized.
The country’s Prime Minister Ruhakana Rugunda told parliament that aspects of the law will be reviewed following concerns from citizens.
He said “Government is now reviewing the taxes taking into consideration the concerns of the public and its implications on the budget.
The president has provided guidance on the matter and encouraged further discussion with a view to reaching consensus on how we should raise the much-needed revenue to finance our budget.”
Uganda’s Parliament last month passed the law that imposes a tax of $0.05 daily for each social media user.
A revised budget is due to be tabled in parliament on Thursday 19 July
Museveni defends tax
Uganda’s President Yoweri Museveni has already mounted a strong defense for the tax policy.
In the face of criticisms, Museveni has taken to social media platform, Facebook to explain why the tax policy is needed.
He said users are enriching foreign-owned telecoms companies without the country’s economy benefiting.
The President said social media users are “endlessly donating money to foreign telephone companies through chatting or even lying”.
Museveni described social media as a “luxury by those who are enjoying themselves or those who are malicious…all the moral reasons are in favour of that tax”.
On Wednesday there were scenes of chaos in Uganda’s capital Kampala after police fired tear gas and live bullets to disperse protesters.
Several Ugandans had marched in Kampala against a social media tax policy which took effect this month.
The protesters say the newly introduced tax is impacting negatively on the youth, many of whom are into entrepreneurship.
The tax regime affects social media platforms such as WhatsApp and Facebook.
Source: Africafeeds.com
