Pay Way, Mobile banking to be taxed

By; Francis Lubega

Government plans to introduce tax charges on Pay way, Easy Pay and mobile banking money transactions next financial year.

This has been said by the state minister of Finance David Bahait while appearing before the parliamentary Finance committee to explain on the new law which government is soon introducing in parliament to regulate mobile money transaction in the country.

Currently Uganda has no law regulating mobile money transaction apart from a policy and guidelines agreed upon by Bank of Uganda and Telecom Companies dealing in money transactions.

Bahati says that the law entitled National payment system will provide legal guidance on all money transactions and which percentage charge will be levied on the users.

Meanwhile Nakaseke South Mp Lutamaguzi Ssemakula has vowed to write a minority report challenging the introduction of Mobile money tax of 0.5% on withdraws since the taxes affect mobile money sector especially the youth who have found a heaven for employment.