The biggest portion of the funding in the Bill is allocated to; the State House, with 374 billion Shillings in recurrent allocations, 189 billion for the Ministry of Defense, 137 billion for security, 16 billion for foreign missions, and 152 billion for National Council of Sports.
Henry Musasizi, Minister of State for Finance
The Minister of State for
Finance- General Duties, Henry Musasizi, has tabled before Parliament the Supplementary
Appropriation Bill, 2025, aimed at allocating up to 4.8 trillion Shillings to
critical priorities, including defense, security, and infrastructure.
Musasizi tabled the Bill
during Thursday’s plenary sitting chaired by Deputy Speaker of Parliament, Thomas
Tayebwa.
The biggest portion of
the funding in the Bill is allocated to the State House, with 374 billion Shillings
in recurrent allocations, 189 billion for the Ministry of Defense, 137 billion
for security, 16 billion for foreign missions, and 152 billion for the National
Council of Sports.
The National Identity and
Registration Authority (NIRA) is allocated 208 billion for identity card
upgrades, 1.2 trillion for local governments, 246 billion for the Ministry of
Energy, and 60 billion for Kampala Capital City Authority (KCCA).
The Minister also tabled
several Tax Bills aimed at enhancing revenue collection and streamlining tax
administration. These include the Tax Procedures Code (Amendment) Bill, 2025,
the Excise Duty (Amendment) (No.2) Bill, 2025, and the Supplementary
Appropriation Bill, 2025.
The Excise Duty
(Amendment) (No.2) Bill, 2025, introduces revisions in tax rates for various
goods and services, including cigarettes, beer, fruit juice, motor fuel, and
plastic products. A key provision allows businesses to recover excise duty on
damaged, expired, or obsolete goods.
Among the notable
proposed changes is the tax on locally manufactured soft cap cigarettes being
revised to 65,000 Shillings per 1,000 sticks, while imported brands will
attract 150,000 Shillings per 1,000 sticks. The excise duty on gasoline is set
at 1,650 Shillings per liter, while diesel will be taxed at 1,380 Shillings per
litre. Plastic bags and sacks under specified tariff codes will attract a duty
of 2.5 percent or US Dollars 70 per tonne, whichever is higher.
The Tax Procedures Code
(Amendment) Bill, 2025, seeks to enhance tax administration by imposing
stricter compliance measures and improving tax enforcement mechanisms.
"The amendments will
streamline revenue collection and reduce tax evasion, ensuring that every
taxpayer contributes fairly to national development," reads part of the
Bill.
Tayebwa referred the various Bills to the Committees on Budget and Finance for scrutiny.
The Committee is expected to report back to the House on the Supplementary Appropriation
Bill.