Activists opposed to the newly introduced social media and mobile money tax have warned government to brace itself for an array of protest activities starting next week on Wednesday.
While launching their protest campaign dubbed “This tax must go” following government’s failure to heed to an ultimatum issued by the same group early in the week, the activists from different professions urged Ugandans to dress in red on Wednesday, July 11 and hold peaceful demonstrations against the new taxes.
On July 1, government introduced a one percent levy on every mobile money transaction and Shs 200 daily tax on usage of social media platforms such as Facebook, WhatsApp, Twitter, Viber, Skype among other. Ultimately, users who did not pay the tax were switched off – triggering outrage across the country.
The activists who included Kyadondo East MP Robert Kyagulanyi also known as Bobi Wine, Dr Stella Nyanzi, local musicians, students, mobile money vendors and journalists called on Ugandans to “use other means to stay on social media other than pay the tax.”
Speaking at a press conference at the launch of the campaign on Friday, Andrew Karamagi, a lawyer and one of the campaigners say the tax is illegal and irregular.
“How can one government be so disorganised and in disarray and cannot even manage one tax efficiently and effectively. Why didn’t they consult us. Government should stop shooting first and aiming later. Taxation doesn’t come out of the sky, it’s the state’s responsibility to levy taxes but that tax should be grounded and should be consistent with the principles of revenue law and taxation. Our constitution under Article 152 creates or enables government levy taxes.” said Karamagi.
There has been confusion over the mobile money tax levy with Finance minister Matia Kasaija disowning the one per cent charge, saying cabinet agreed on 0.5%. President Museveni has also come and ‘clarified’ that indeed the mobile money tax levy is 0.5% and not 1% as passed by parliament.
Intriguingly, Kasaija read out the 2018/19 financial budget that included the 1% levy on mobile money transactions including on deposits, withdrawals, sending or receiving. Museveni also assented to the Excise duty (Amendment) Act had 1% levy.
Karamagi says they cannot negotiate with the government over a law which is unfair adding that the tax needs to be rescinded in order to give Uganda a fresh start on the issue.
“It carries no legal wait, it’s unfounded, it’s unjustified…We’re not ready to partner with government on an illegality. We’re ready to propose alternative taxes, alternative sources but we’re not ready to partner on this one. The tax should simply be rescinded,” he said.
Angella Namirembe, a student at Kyambogo University faults parliament for failing to stand with the people during the time the law went through the legislative process. Namirembe also blames the government for failing to consult citizens before introducing the new tax regime.
“We always send people to represent us but unfortunately even when the laws come, they raise hands up when it is not necessary. Instead of saying no, they will say yes. Instead of saying yes, they will say no – that is the problem. Another thing, I heard the Finance minister Matia Kasaija saying he doesn’t know how the law was passed,” she said.
Like opposition political party Forum for Democratic Change (FDC) said that the ruling party (NRM) MPs are to blame for the ill-advised tax, likewise Kyagulanyi said the very few MPs debated the taxes on the floor of parliament. Records indicate that only 38 MPs participated in the debate, with 28 opposed to the taxes. However, when the voice voting came, ‘the ayes’ took the day.
“I have said it before and am saying it again, many times I get ashamed of the fact that I belong to the parliament. We were very few people when the issue was being debated but when voting came, what we normally call the ‘voting machines’ came in. Members of parliament, you have actually seen many of them asserting that they did not know what they were voting for…It failed to work in parliament, people are the bosses. That is why when it fails to work in parliament, we come back to the people. We have come back to you ladies and gentlemen. We don’t want to take the blame as us, we want us to take this responsibility as a country.” said Kyagulanyi.
Kyagulanyi called on the youth, who make up the majority of the population to take charge of the country and determine the direction they want to live under.
“This tax is oppressive and is making life impossible for the already suffering young people. We know that it couldn’t be solved in parliament, that is why we come back to the population to solve this. We’ve reached out to the young leaders across the divide and have agreed that this will not work. this cannot work because we’re the people, we’re the ones responsible for this country. We have the power in our hands and we’re going to use that power channel our country to the direction we want it to go to.” he said.
source:-the observer