Africa-Press – Uganda. Kugonza further noted that some taxpayers reduced or paused operations during the election season, contributing to the shortfall.
“Some taxpayers slowed down on their activities, and we are confident that in the coming cycle of January to June 2026, we will recover rapidly and close the deficit,” he said.
Despite these challenges, URA reported progress in recovering outstanding tax arrears, collecting Shs186 billion through arrears management and alternative dispute resolution, alongside Shs274 billion from completed cases.
These efforts helped mitigate the impact of the electoral disruptions on overall revenue performance.
Customs enforcement operations were also affected. Between July and December 2025, URA recovered Shs41 billion, falling short of the Shs61 billion target.
Kugonza said the slowdown in enforcement measures was similarly linked to the election period.
“Just as with domestic tax collections, the ongoing electoral activities resulted in a slowdown of enforcement operations,” he explained.
“This allowed URA to adjust its measures as citizens were being mobilized for taxation.”
URA remains optimistic that the shortfall will be addressed in the coming months.
“We are confident that in the next cycle, from January to June 2026, we will be able to recover the revenue deficit and meet the expected targets,” Kugonza said.
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