Uganda taxes residents on worldwide income and non-residents on Uganda-source income only. Uganda operates a self-assessment system for corporate tax, with the Uganda Revenue Authority conducting post-filing review. Uganda had a proposed alternative minimum tax reported in earlier years; extensive, detailed coverage of Uganda's actual enacted tax amendments for 2024, 2025, and 2026 (EY, MMAKS Advocates, Onyango & Company) makes no mention of an alternative minimum tax being adopted, suggesting the proposal either remains unenacted or was not carried forward - confirm current status directly with the Uganda Revenue Authority before relying on it either way.
Uganda's tax year runs 1 July to 30 June (companies may adopt a substitute year with approval). Note the East African Community coordinated customs changes effective 1 July 2026 apply to Uganda alongside Kenya, Tanzania, Rwanda, and Burundi.
Uganda's headline corporate income tax (CIT) rate is 30%.
The headline personal income tax (PIT) rate is 40%.
The standard VAT/GST (or equivalent consumption tax) rate is 18%.
An individual is a Ugandan tax resident if they have a permanent home in Uganda; are present 183 days or more (aggregate) in any 12-month period commencing or ending in the year of income; or average more than 122 days per year during the current and preceding two years of income. Residents are taxed on worldwide income; non-residents at 30% on Uganda-source income only.
A non-Ugandan entity has a Uganda permanent establishment through a fixed place of business or a dependent agent habitually concluding contracts in Uganda on the entity's behalf, following the OECD Model Treaty definition as applied under Ugandan domestic law and any applicable tax treaty.
Uganda has no CFC regime.
Uganda's prior thin capitalization rules were repealed in 2018 and replaced by an EBITDA-based rule: for group-member taxpayers (excluding financial institutions and insurers), deductible interest on all debts is capped at 30% of tax EBITDA; excess interest carries forward up to three years.
Uganda does not use an elective check-the-box classification system; entity classification generally follows the entity's actual legal characteristics. Uganda does not have a comprehensive ATAD2-style anti-hybrid regime.
No foreign bank account or foreign financial asset reporting regime exists requiring residents to separately disclose foreign accounts; foreign income is reported through the standard annual tax return.
Uganda does not provide a broad participation exemption for foreign dividends in the European sense; relief from double taxation is available primarily through Uganda's foreign tax credit system.
Uganda has a foreign tax credit mechanism for foreign tax paid on foreign-source income also taxed in Uganda, capped at the Ugandan tax otherwise due on that income.
Uganda maintains approximately 10 double tax treaties, including South Africa, Mauritius, Denmark, the Netherlands, Norway, and the UK. Uganda announced a temporary cessation of new bilateral tax treaty negotiations in June 2014 pending a policy review, amid concerns (echoed by researchers and NGOs) that some of its existing treaties - notably with the Netherlands - have been used for treaty shopping, including via Uganda-incorporated investments structured through Netherlands-based holding entities.