By Leonard Kamugisha Akida,
PARROTS UG |HEALTH REPORT:
The Uganda Medical and Dental Practitioners Council (UMDPC) has asked all medical and dental practitioners in the country to register for the Uganda Revenue Authority – Tax Identification Number to allow them renew their licenses.
The call follow directives by the tax regulatory body URA to all government institutions and regulatory bodies in Uganda not to issue or renew licenses to individuals with no TIN.
“This is to inform you that the URA under Tax Procedure Code (Amendment) Act,2021 has notified us that no government institution or regulatory body should issue a license to any person who doesn’t have a TIN,’ read excerpts off the circular.
According to a circular directed to medical and dental practitioners in the country by the council registrar, Dr Katumba Ssentongo, the medics have up to October,2021, to present their TIN for renewal of their licenses.
“This is to inform you to present the same to council as you renew your licenses before October,2021.” Dr. Katumba said.
The tax law of Uganda requires every person who is engaged in a business activity to register with the URA and be issued with a TIN number.
According to the new tax law, the requirement applies to every business activity, whether it is a special car hire service, heavy goods truck (maggulu kumi), rental houses, mobile money agent, catering services, comedian, funeral service directors etc.
Having a TIN number does not mean you have to pay tax. No. A TIN number is for purposes of identifying you as a tax payer and it is unique for every tax payer.
Taxpayer Identification Number (TIN)
Source: URA
A TIN is a unique ten-digit identifying number allocated by the Uganda Revenue Authority to prospective Taxpayers to enable them to meet their tax obligations. The TIN is a legal requirement and it applies to all taxpayers regardless of their tax transactions.
Expected Delivery Time:
URA will send an Auto notification of the receipt of your application upon submission.
For applications without VAT, we aim to notify you of your TIN or a decision on your registration application within 2 working days of receiving all the necessary information.
For applications with VAT, we aim to notify you of the proposed inspection/interview date within 3 working days which you can consent to or defer to a more convenient one.
After inspection, we aim to notify you of your TIN or decision on your registration application within 21 working days.
Cost of the Service: FREE
Why do you need a TIN?
It enables you to:
Import or export goods within and outside Uganda.
Claim tax benefits that accrue to you e.g. tax refunds etc.
Access bank loans for amounts above 50 Million shillings.
Acquire a license from any Government Agency.
Register your Motor Vehicle First-time Motor Vehicle Registration
Process land transactions above 50 Million Shillings.
OBTAINING A TIN:
DO I need a TIN when am not running a profitable business?
Think of having a TIN number in the same way as having a passport. Not every person who applies for a passport has a scheduled trip to travel outside Uganda. But you need to have the passport on you in case you are required to travel at short notice and there will be no time to apply for one. Likewise everyone who is involved in a business activity must have a TIN number, just in case the business makes a profit sometime in the future and the person is required to pay tax on the profits.
Registration with the URA will also help change the attitude of small business with regards to taxation, and has the potential to stimulate economic growth.