MASINDI SACCO MEMBERS PROTEST 30/% PROPOSED TAX

By yosam Gucwaki
www.mknewslink.com
In Masindi—

Savings and Credit cooperatives members in Masindi district have rejected the proposed 30% income tax on SACCOs.
The members rejected the proposed income tax SACCOs yesterday during the dialogue organized by Forum for Women in Democracy (FOWED) which was held at mayor’s garden in Masindi town.
The income tax proposes to repeal section 21 (1) clause ad that was introduced in 2017 exempting SACCOs from paying income tax up to June 2027. This means that once the bill is passed by parliament SACCOs would pay 30% income tax.
Members of SACCOs and groups who came from different parts of Masindi district protested the idea brought by government many of them saying government should focus on taxing SACCOs which it generated by and injected in money but not to focus on their small SACCOs.
Ssallongo Bogere, from Pakanyi SACCO noted that most SACCOs in the country have no potential to pay the tax adding that government should first embark sensitizing SACCO members on how to make profits. He added that this is going to discourage more members from joining SACCOs.
Imelda Asaba, from Kitamba SACCO in Bwijanga Sub County said she is disappointed to see government turning around and yet last year had exempted them from paying the income tax. She added that they cannot manage this tax because they are still poor.
Paul Byentaro, from Bwijanga SACCO explained that 30% income tax is too much adding that Most of the SACCOs cannot mange it since they are still in a poor status.
Harriet Amanya, from Masindi central market vendors SACCO said that once government introduces this tax all SACCOs and groups will collapse adding that now people are going to embark on forming informal groups in the villages as one way of dodging the tax.
Monica Tibemanya, the Masindi municipal commercial officer, said that before government imposing income tax on SACCOs, it should first send experts on the ground and asses their status.
Moreen Kyomuhendo, the project officer, Forum for women in democracy (FOWED) said the dialogue was organized with aim of getting their views in regard to income tax bill on SACCOS saying that their position will be presented to parliament tomorrow while presenting the position paper from different districts.
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