Tax Tribunal to accelerate resolution of disputes

The Tax Appeals Tribunal (TAT) has launched a Users’ Forum geared towards accelerating the resolution of disputes between the taxman and the taxpayer.

Speaking at the launch held at Golden Tulip Hotel in Kampala, Catherine Donovan Kyokunda, the Commissioner of Legal Services and Board Affairs recognized the role of the tribunal in the adjudication of tax matters.

She noted that the launch of the forum is a good strategy for the disposal of case backlogs and will facilitate both revenue collection and business.

Kyokunda also recognized TAT’s adoption of Alternative Dispute Resolution (ADR).

“We recognize TAT’s reliance on and adoption of ADR through mediation, which has expedited the disposal of cases. 70% of cases are settled through mediation and that’s quite key because going through the court system is i costly,” she stated.

She committed to establishing a system that allows for disputes to be resolved fairly and expeditiously to support both taxpayers and URA.

The TAT Chairperson Crystal Kabajwara, laid down proposals to improve the tribunal’s operations.

“We propose to improve systems, processes, conduct, and how the different respondents and the applicants engage with each other. In summary, the objective of our proposals is to ensure that we clear the backlog of cases,” she highlighted.

She implored the Uganda Revenue Authority (URA) to improve its internal procedures for approvals, saying delays in approvals are contributing to the backlog.

“This is specifically for the URA. Several matters come up, and we are told that the consent judgment is undergoing approval. So, I’d like to request that your internal procedures be tightened because this is contributing to the backlog.”

Launching the Forum, Susan Nakagolo, a Principal Economist at the Ministry of Finance, emphasized that the tribunal is independent and is expected to unlock tax revenue for the government and working capital for businesses, both of which are important for stimulating economic growth and national development.

Meanwhile, it was noted that about 250 cases are pending before the tribunal with a value of about sh700 billion.

The duty of Tax Appeals Tribunal of Uganda is to settle tax disputes between taxpayers and URA.

The number of tax disputes has increased from 20 cases annually in 2008 to 40 disputes monthly in 2022 according to the Tax Appeals Tribunal.

Statistics show that the tribunal on average receives 40 disputes a month. This is majorly attributed to an aggressive push by the URA to increase tax collections.