The Executive Director of Uganda Communication Commission Eng. Godfrey Mutabazi has said that all those opposing the instituted social media tax complain out of ignorance.
Speaking at the UCC Annual Broadcasters’ conference on Wednesday, Mutabazi said that its unfortunate to hear people complaining yet government is looking for an avenue to collect revenue to improve service delivery.
Mutabazi said that the technology companies people are sympathizing with pay huge taxes to the wealthy European countries but don’t contribute nothing to Pearl of Africa.
“If these technology companies and developers are paying taxes in the in wealthy Europe and America, why not here in Uganda? Can you tell me any African country that benefits from them? Now all I want to inform you that We can’t scrap-off Social Media Tax.
This came just hours just after the Uganda Hotel Owners Association added voice to those opposing the newly introduced social media tax saying it will negatively affect development of the country’s hospitality industry.
The association’s executive director Jean Byamugisha is worried that the Shs 200 daily tax will inevitably raise the cost of doing business.
Byamugisha adds that the hotel business has been thriving on social media especially in marketing of its products.
However, the Uganda Communications Commission says despite all contestations, government will not abandon this move that is expected to raise between Shs400bn and Shs1.4tn annually.