|
Citation
|
Judgment date
|
| April 2021 |
|
|
A lease moratorium postpones payment but does not excuse the statutory obligation to charge and remit VAT; assessment upheld.
Tax — Value Added Tax — Leasing of plant and equipment — Rental agreements are taxable supplies; time of supply occurs on earlier of payment due, payment made, or invoice issued; VAT payable monthly. Contract vs statute — A contractual moratorium may postpone payment but cannot waive or extinguish statutory tax obligations; parties cannot by agreement fetter statutory tax duties. Deferment — VAT deferment regulations concern import deferment and do not authorise waiver of VAT on leasing absent statutory approval. Commissioner’s powers — Extension or deferment of VAT requires written application and approval by the Commissioner General.
|
30 April 2021 |
|
Taxation of costs awarded on a preliminary ruling is stayed pending final determination of the main application.
Costs — Taxation of bill of costs — Whether costs awarded on a preliminary ruling may be taxed before final determination — Court’s discretion under s.27 Civil Procedure Act — Costs follow the event; taxation may be stayed to avoid prejudging main application.
|
28 April 2021 |
| March 2021 |
|
|
Registered taxable person entitled to input VAT on construction costs used in its business; claim allowed with costs.
VAT – Input tax credit – Section 28(1) VAT Act – entitlement where supplies made to a taxable person during tax period and used in the business – making taxable supplies not a pre‑condition – construction costs for commercial property recoverable where used in taxable business (letting advertising space) – taxable person defined by registration.
|
31 March 2021 |
|
Donor grants are not taxable supplies; input VAT apportionment must exclude grants and the assessment was set aside.
VAT — Input tax apportionment (S.28(7)(b); Fourth Schedule S.1(f)): donor grants are not taxable supplies and must be excluded from C; dexa scan services are exempt medical supplies under item 1(h) of the Second Schedule; where B/C yields entitlement, input tax credit follows; VAT assessment based on including grants set aside.
|
31 March 2021 |
|
Tribunal held related‑party sales were arm’s‑length; respondent’s market‑price adjustment unlawful; assessed loss partly upheld.
Tax — transfer pricing and related‑party transactions — arm’s‑length principle v. fair market value; Tax Procedures Code s.23 powers to assess on best information; self‑assessment and assessed losses (s.20 Tax Procedures Code) — burden on taxpayer to prove loss; admissibility and reliability of field inspection evidence in tax reassessments.
|
29 March 2021 |
|
Instruction fees and separate perusal fees disallowed where respondent used salaried in-house counsel and rules subsume perusals into instruction fees.
Advocates’ costs — Taxation of bill of costs — Instruction fees not allowable where in-house counsel used and no external instruction expense incurred — Perusals subsumed within instruction fee under sixth schedule — Fifth schedule inapplicable to justify separate perusal charge.
|
23 March 2021 |
|
Applicant’s delay due to a clerk’s omission is imputed to it; no sufficient cause shown, extension refused.
Tax procedure – extension of time – S.16 Tax Appeals Tribunal Act and Rule 11 – requirement to show reasonable/sufficient cause. Procedural law – employer vicarious responsibility – negligence of employee (legal clerk) imputed to institutional litigant; does not amount to sufficient cause. Administrative law – estoppel – cannot be used to fetter a statutory body’s statutory powers. Exercise of discretion – factors: length of delay, reason, prospects of success, prejudice to other party.
|
18 March 2021 |
| January 2021 |
|
|
Tribunal held motor vehicle benefit is measured in days, taxpayer failed to prove fewer private-use days; application dismissed with costs.
Tax — PAYE — Motor vehicle benefit-in-kind — 5th Schedule formula (20% x A x B/C) - interpretation of B as days, not hours — burden of proof on taxpayer — sufficiency of vehicle movement logs — depreciation amendment timing.
|
29 January 2021 |
|
|
29 January 2021 |
|
Application for extension to file tax review dismissed where delay exceeded statutory six-month limit despite COVID-19 and illness.
Tax law – extension of time – application for review of objection decision – statutory 30-day and six-month limits under Tax Appeals Tribunal Act – Rule 11(6) allows extension for illness, absence or reasonable cause. Procedural law – extension of time – factors: length of delay, reasons for delay, prospects of success, prejudice to other party. COVID-19 – lockdown and health grounds considered but insufficient to justify delay beyond statutory six months.
|
29 January 2021 |
|
Provisional tax underestimation beyond 10% attracts statutory penal tax; remission is a ministerial discretion.
Tax Procedure Code Act s.51 – Penal tax for underestimation of provisional chargeable income/turnover; Income Tax Act s.112 – timing and revision of provisional estimates; strict statutory liability for variance beyond 10%; s.53(5) – ministerial remission (discretionary).
|
25 January 2021 |
|
Applicant entitled to refund and may apply overpaid tax to offset liabilities despite refund time‑bar.
Tax law – refund and offset of overpaid tax – application of S.113(2) time limit to refund applications not to offsets under S.113(3); taxpayer’s property rights (Art.26) protect use of tax credits; unreasonable audit delay; recovery by agency notice without justification refundable.
|
21 January 2021 |
| December 2020 |
|
|
|
9 December 2020 |
| November 2020 |
|
|
Services by the applicant’s branch to its head office are not taxable supplies; VAT assessment disallowed.
Tax — Value Added Tax — Taxable person — Branch and head office — Whether a branch constitutes a separate taxable person for VAT purposes. VAT — Supply of services — Whether services performed by a branch for its head office constitute a taxable supply. VAT — Export of services — Documentary proof and Regulation 12/Regulation 13(3). Statutory interpretation — Legal personhood and taxing provisions.
|
30 November 2020 |
|
Insufficient original documentation and proof of payment defeats input VAT claims; assessment upheld and penal interest recalculated.
Tax law – VAT – input tax credit – requirement for original tax invoices, proof of payment and use; burden of proof on taxpayer; invoice trading/fictitious invoices; penal tax under s.65(3) (interest/penal for unpaid tax) vs s.65(6) (double penal tax for false or misleading declarations).
|
4 November 2020 |
| October 2020 |
|
|
A retirement benefits scheme with a sponsor's reversionary interest qualifies as a settlor trust, shifting tax liability to the settlor.
Tax law – Retirement benefits scheme – Whether scheme qualifies as a settlor trust under s.70(f) Income Tax Act – Reversionary interest suffices. Tax law – Interaction of s.8 (taxation of trustees/retirement funds) and s.71(5) (taxation of settlor trusts) – specific provision overrides general rule. Statutory exemption – Effect of settlor’s exemption under s.21 on trust tax liability. Remedy – Assessment against trustees misplaced; application allowed with costs.
|
30 October 2020 |
|
Exported agricultural goods are zero‑rated under the Third Schedule; no informer reward where no tax was recoverable.
Tax law – VAT classification – whether exports of unprocessed agricultural goods are zero‑rated or exempt; interaction of Second and Third Schedules and S.77. Statutory interpretation – effect of the amendment requiring supplies to be made "in Uganda". Informer law – entitlement to reward requires information leading to recoverable tax; locus standi and former‑employee informers.
|
15 October 2020 |
| September 2020 |
|
|
Broadcast rights delivered on disks are imported services; recipient must account for VAT and pay assessed tax.
VAT — imported services v goods — licence to broadcast on physical media — mixed supply; principal supply test; recipient liable for VAT on imported services; valuation includes content on media.
|
21 September 2020 |
|
Tribunal dismissed application to extend time to object to tax assessment for unexplained delay and lack of evidence.}
Tax procedure – extension of time to lodge objection – discretion under s.24(4) Tax Procedure Code Act – Interpretation Act s.34(3) – effect of payment on right to object – COVID-19 lockdown not a blanket excuse without evidence – judicial review standard: illegality, irrationality, procedural impropriety.
|
11 September 2020 |
|
Tribunal refused leave to amend to add a counterclaim for withheld taxes, finding no assessments or statutory basis for recovery.
Tax law — amendment of pleadings — application to add counterclaim for withheld taxes — Order 6 r.19 and Order 8 r.2/r.7 CPR — counterclaim distinct from main relief (voluntary disclosure waiver) — necessity of assessments and objection process before recovery — Tribunal’s jurisdiction as court of first instance in tax disputes (Rabbo decision) — amendment refused.
|
11 September 2020 |
|
|
9 September 2020 |
|
Taxpayer entitled to input VAT for goods (including mixed supplies) within six months pre-registration despite suppliers’ non-declaration.
Tax — Input VAT — entitlement under S.28(3) for taxable supplies of goods within six months prior to registration; mixed supplies and incidental services (S.12). Construction contracts — when construction supplies constitute goods (materials) with incidental services. Procedural/remedial — supplier non-declaration does not bar claimant’s input credit; revenue authority must pursue suppliers. Remedies — allowance of input VAT, statutory interest and costs.
|
7 September 2020 |
| June 2020 |
|
|
|
30 June 2020 |
| May 2020 |
|
|
|
28 May 2020 |
|
|
27 May 2020 |
|
|
22 May 2020 |
|
|
21 May 2020 |
|
|
20 May 2020 |
|
Applicant not obliged to pay interest on disputed tax during Tribunal proceedings; pre-30 June 2020 interest waived.
Tax law – Interest on disputed tax – Whether interest accruing while a tax objection/appeal is pending is payable. Tax Procedure Code Act s.40C – waiver of outstanding interest and penalties up to 30 June 2020. Tax appeals – effect of paying 30% of disputed tax and requirement to pay interest on arrears while dispute is pending. Procedural fairness – protection from penalisation by imposition of interest during dispute resolution.
|
20 May 2020 |
|
|
19 May 2020 |
|
|
15 May 2020 |
| March 2020 |
|
|
|
30 March 2020 |
|
|
27 March 2020 |
|
Fronting and facultative fees incidental to reinsurance are VAT-exempt; Tribunal limited relief to pleaded assessment.
Tax — VAT: reinsurance services specified as exempt; fronting and facultative fees incidental/ancillary to reinsurance are VAT-exempt. Procedural law — tribunal confined to issues and amounts properly pleaded; late/unpleaded claims to reconcile wider assessments dismissed.
|
26 March 2020 |
|
|
25 March 2020 |
|
|
17 March 2020 |
|
|
10 March 2020 |
| January 2020 |
|
|
Whether cereals grown but not milled by the applicant qualify as zero-rated or as exempt unprocessed agricultural products.
Tax — VAT — Interpretation of statutory language — "grown and milled in Uganda" in Third Schedule — purposive construction using Parliamentary Hansard — zero-rating requires both growing and milling by supplier; Tax — VAT — Exempt supplies — unprocessed agricultural products (Second Schedule) — low value-added activities (drying, cleaning, packaging) within 5% threshold do not amount to processing; Input VAT — entitlement only for zero-rated taxable supplies, not for exempt supplies.
|
28 January 2020 |
|
Tax tribunal allowed pre-supply input VAT where registration was effective, applied time-of-supply rules to resolve accounting variance, and awarded verified supplier input VAT.
VAT — registration effective date and taxable person status; VAT input tax entitlement under S.28; mixed-supplies fraction (S.28(8)) inapplicable to purely standard-rated supplier; time of supply rules (S.14(1)(c)) and effect on VAT returns; audited financial statements v VAT returns — timing mismatches; taxpayer not obliged to ensure suppliers remit collected VAT.
|
24 January 2020 |
|
Assessment set aside due to defective sampling, weak lab procedures and lack of a clear link between samples and consignment.
Tax law – assessment of import duty – validity of assessment dependent on credible sampling and laboratory analysis. Administrative law – fair and transparent procedures – chain of custody, sealing, escorting and timely submission of samples. Evidentiary standards – link between tested samples, seized containers and bill of lading; laboratory capacity and tendering of samples.
|
21 January 2020 |
| March 2019 |
|
|
Section 15’s mandatory 30% deposit requirement is satisfied where the revenue authority has recovered that amount, so the objection is dismissed.
Tax Appeals Tribunal Act s.15 – mandatory 30% deposit; recovery by respondent (set-off/offset) can satisfy the deposit requirement; preliminary objection for non-payment dismissed where recovery exceeds 30%; costs awarded.
|
29 March 2019 |
|
The applicant's challenge to the taxing officer's UGX 90,000,000 instruction fee failed absent any error of principle or manifestly inadequate award.
Taxation of costs – instruction fees – when a court may vary a taxing officer’s award – error of principle or manifestly excessive/low award required for interference. Advocates (Remuneration and Taxation of Costs) Rules – Schedule 6 – consideration of ascertainable value and factors in assessing instruction fees. Effect of consent/compromise on a decree – does not necessarily extinguish separate costs claims. Finality of judgment – effect of pending/dismissed miscellaneous applications on subsequent taxation proceedings.
|
1 March 2019 |
| February 2019 |
|
|
Application against customs seizure dismissed as time-barred and lacking locus; goods sold, origin undeterminable.
Customs law – seizure and forfeiture of goods – EACCMA provisions on seizure, claim and condemnation – statutory time limits (S.214, S.216, S.229/S.230) – locus/ownership of seized goods – sale of perishable seized goods – Limitation Act inapplicable to statutory customs disputes.
|
13 February 2019 |
| December 2018 |
|
|
Books suitable for public libraries or educational establishments are zero‑rated on supply and exempt from import VAT under the Florence Agreement.
Tax law — VAT on imports and supplies; interpretation of "suitable for use only in public libraries and educational establishments" (Third Schedule, VAT Act); interaction of VAT Act and EACCMA Fifth Schedule; Florence Agreement and Nairobi Protocol exempt educational, scientific and cultural materials from import duty and import VAT; dual‑purpose books may still qualify for zero‑rating.
|
28 December 2018 |
|
|
21 December 2018 |
|
Applicant is an educational institution but not of public character; exemption rejected and Commissioner’s refusal appealable.
Tax — Income Tax Act s.2(bb) — meaning of “educational institution of public character” — parameters: ownership, funding, management, accessibility, beneficiaries — taxability of surplus and non‑educational income — Commissioner’s discretion to issue or refuse written rulings — refusals are taxation decisions appealable to Tax Appeals Tribunal.
|
20 December 2018 |
|
Applicant's trust not religious or public in character; hall rental income is taxable.
Tax law – Income Tax Act S.2(bb) – exemption for religious, charitable or educational institutions of public character; Trust deed and objects – determining institutional character; Public character – membership restrictions and accessibility; Distinct legal entities – lodges and charity separate from trustee; Taxation of rental income – hiring of premises taxable under s.5.
|
20 December 2018 |
| October 2018 |
|
|
Input VAT credit arose on importation and is not time‑barred; refund of Shs.14,933,056,019 ordered.
Tax — Value Added Tax — Input tax credit — s.28(1) and s.28(4)(a): entitlement arises on date goods are imported. Tax Procedures Code Act — commencement and application — Acts do not apply to rights that arose prior to commencement. s.23(3) TPCA — relates to additional assessments for discovered errors within 12 months, not a general time bar on input tax claims. Refunds — Commissioner’s verification/approval and statutory invoice rules (s.28(11),(12)) relevant to claim but do not extinguish substantive right.
|
30 October 2018 |
| August 2018 |
|
|
Books suitable for public libraries or educational establishments are zero-rated and exempt from VAT at importation and supply.
Tax law – VAT – zero-rating of educational materials – interpretation of "suitable for use only in public libraries and educational establishments"; import exemption – EACCMA Fifth Schedule adopting Florence Agreement and Nairobi Protocol; dual-purpose books eligible for zero-rating; post-clearance audit assessment set aside.
|
28 August 2018 |
| July 2018 |
|
|
Reimbursed travel and upkeep paid to third parties are not management charges subject to withholding tax or VAT; application allowed with costs.
Tax law — Withholding tax — Definition of "gross amount" under s.83(2) and effect of s.87(1)(b) on allowable deductions for non-residents; reimbursable travel, accommodation and per diem paid to third parties are not management charges or taxable income of the non-resident. VAT — Reimbursable third-party supplies already subject to VAT; no statutory basis for withholding VAT; double taxation avoided. Statutory interpretation — ambiguity construed in favour of taxpayer.
|
23 July 2018 |
