Kampala Capital Authority (KCCA) physical planning directorate has proposed a range of new taxes and also hiking the existing ones in a bid to tap potential revenue sources.
The new proposed tax schedule was presented to the Kampala city authority council meeting on Thursday in Entebbe and sent to physical planning standing committee chaired by Rubaga North councilor, Abubakar Kawalya for review.
KCCA physical planning director, Moses Atwine explains that “there are many potential revenue sources that have not been tapped into by KCCA because their levy is not legally provided for.”
He says the current development fees and other fees being charged are far below the minimum for the city standards because of inflation that has occurred from the time they were set up in 1990s yet the cost of required city services keeps increasing.
In total, KCCA physical planning directorate is seeking to slap or increase tax on 44 items. Twenty one of these items are new taxes, while 23 are items whose tax is being increased. For instance, some of the new taxes being introduced is a UGX50,000 fee on request to cut a tree within a private property, UGX2,000,000 express permit for illegal construction, a UGX 500,000 per square metre fee for cutting through road pavement for installation of utility lines, and UGX100,000 excavation and grading permit among others.