PRESS STATEMENT: Released 20th November 2016
As you are aware, on 15th November 2016, Parliament returned the Income Tax (Amendment) Bill, 2016 to the President with a proposal to exempt MPs allowances from Taxes. The new Insertion under the Income Tax bill by MPs under Sec.21 “(qa) the employment income of person employed as a Member of Parliament, except salary” intends to create a tax exemption on MPs’ emoluments and allowances, and adds to the list of special groups that are exempt for paying tax in their allowances (Police men, soldiers and prisons). The move for the MPs to insist on exempting their allowances from tax comes at a time when the country is grappling with resources to buy each of the 431 MPs a car for their term of service in the 10th Parliament.
We would like to note whereas the average basic pay of an MP, for tax purposes is UGX 11.18m and that their average contribution to tax is 3.374m, an MPs in Uganda earns anywhere between 20 – 27 million (including other allowances). And in the spirit of the Ugandan Income tax law, which is progressive, the more you earn, the more you should pay. This should appeal more to the MPs who represent the poor communities from which we all come.
Published: 26th October 2016
The Health sector budget allocation in FY 2016/17 increased by 44% from last financial year UGX1, 270.81bn in FY2015/16 to UGX 1,826.49bn this financial year. The Health sector objectives include; improving population health outcomes and well-being, reducing health inequalities, and ensuring a citizen-centered health system that is universal, equitable, sustainable and of a high quality. In order to achieve this, Ministry of Health focuses on implementation of National Health Policy II (NHPII) whose priority areas include:
Health sector grants are provided to Local Governments and health facilities to provide health services, in order to achieve universal health coverage with emphasis on access, quality and affordability aspects.
With the use of the fiscal decentralization reforms, Local Governments (LGs) will be able to enhance adherence to core budget and accountability requirements, strengthen functioning of LG processes, systems and incentive attainments of service delivery results.
While the recent LG Health Sector Guidelines and the attendant budget allocation formula are a step in the right direction, Civil Society has made a critical analysis of the same and come up with recommendations for the guidelines to be more robust and effective.