Uganda - Refund on Value Added Tax

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Procedure

Refund on value added tax is a process where a taxpayer claims money that was over paid to URA in excess of the VAT tax liability to URA.

HOW TO APPLY

1. Log onto the Uganda Revenue Authority (URA) web portal Apply onlineusing your Log in ID and Password
   
2. Search for the application form VAT return Form read through the instruction carefully and fill it accurately:Diplomat VAT return form
   

   Note that:

   • Individual transactions of less than UGX 50,000/=, excluding tax, shall not be eligible for a refund
   • The total value of transactions for any claim period shall not be less than UGX 200,000/=, excluding tax

3. Submit the completed return online (the law requires that this is done within 15 days after the end of the month)
4. Submit the required documents to the URA office in person for verification and processing
   

   Note

   • All claims must be signed by the claimant or authorised signatory notify URA as and when tenure of service for any of their staff expires Utilities (water and electricity) are exempt, and hence no refund is allowed
   • All tax invoices must bear the official stamp of the diplomatic or consular mission or public internal organization.

5. The system automatically sends an e-mail notification to the applicant, once the refund is ready ,which will be paid to the bank account number provided
   

   Note

   • Where a refund claim is rejected, the applicant will be notified on Form 118

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Required Documents

• Evidence of purchase and payment of tax including a tax invoice Accreditation by Ministry of Foreign Affairs (i.e., Official diplomatic or accreditation card issued by the Ministry responsible for Foreign Affairs)
• Completed and filed Diplomatic VAT return form
• Tax Identification Number (TIN)
• Any other relevant documents to support the claim, for example, copy of the tenancy agreement or motor vehicle log book Duly filled and signed Tax Refunds Return Form-DT – 2031

Office Locations & Contacts

Uganda Revenue Authority - Head Office,
Physical address: Plot M193/M194,
Nakawa Industrial Area
Kampala, Uganda
P.O. Box 7279,
Kampala, Uganda
Toll Free Number: (256) 800117000
Email:[email protected]
Website: Link

Eligibility

• Any person enjoying full or limited immunity, rights or privileges under any local or international laws applicable in Uganda or under recognized principles of international law;
• Any Diplomatic or Consular mission of a foreign country or any public international organization established in Uganda or listed in the first schedule to the VAT Act relating to transactions concluded for its official purposes

Fees

• FREE OF CHANGE

Validity

• 15 days

Documents to Use

Diplomat VAT return form : VAt return Form

Sample Documents

Please attach sample completed documents that would help other people.

Processing Time

• URA will acknowledge receipt of your refund application 'Instantly' upon submission and will notify you about your refund application status within 30 working days after receiving all the necessary information.

Related Videos

Videos explaining the procedure or to fill the applications. 
Attach videos using the following tag <&video type='website'>video ID|width|height<&/video&> from external websites. 	
Please remove the '&' inside the tags during implementation.
Website = allocine, blip, dailymotion, facebook, gametrailers, googlevideo, html5, metacafe, myspace, revver, 
sevenload, viddler, vimeo, youku, youtube
width = 560, height = 340, Video ID = Can be obtained from the URL of webpage where the video is displayed.
e.g In the following url 'http://www.youtube.com/watch?v=Y0US7oR_t3M' Video ID is 'Y0US7oR_t3M'.

Instructions

A VAT refund can be claimed through a provision included on the VAT return form.

1. Where URA has delayed to process your tax refund without any justification, you are entitled to an interest on the refund amount of 2% per month simple interest for VAT. This commences from the end of the 30 working days during which the refund is processed.
2. You must tick cash refund on the VAT form to claim the refund.
3. A refund audit will be conducted if you are a first time applicant;
4. If you are in a cash refundable position, the money will be deposited onto the declared bank account declared in URA;
5. A person may claim a refund for the output tax paid in excess of the amount tax due for a tax period. This may arise as a result of :-

• A taxable person’s input tax credit exceeding his or her output tax for that period, where he or she applies for a VAT refund through the monthly return
• An objection decision
• A decision of Tax Appeals Tribunal or High Court.
• Loss of Goods in Stock, CG may grant a refund for the input tax paid on such goods.
• Bad Debts, subject to S.43 (1)
• Export / Zero rated goods
• Purchases By Diplomats/diplomatic missions

However, where the amount of the excess input tax credit is less than 5 million, except for persons mainly dealing in zero rated supplies, CG shall offset that amount against the future liability of the taxable person. The claim shall be made in a return within three years after the end of the tax period in which the tax was over paid.

Required Information

• Name
• Address
• Nationality
• Contacts
• Tax Identification Number
• Diplomatic Identification Number of Claimant
• Bank Branch
• Account Number (Only UGX Accounts)

Need for the Document

Enables taxpayer claims money that was over paid to URA in excess of the VAT tax liability to URA.

Information which might help

• Individual transactions of less than UGX 50,000/=, excluding tax, shall not be eligible for a refund
• The total value of transactions for any claim period shall not be less than UGX 200,000/=, excluding tax
• Applications for refund shall be made not more than once in the month
• The claim submitted will be validated against the supplier’s declaration
• The system automatically sends an e-mail notification to the applicant, once the refund is ready
• Where a refund claim is rejected, the applicant will be notified on Form 118
• Approved refunds will be paid to the bank account number provided
• All tax invoices must bear the official stamp of the diplomatic or consular mission or public internal organization
• All claims must be signed by the claimant or authorized signatory
• The diplomatic or consular mission or public international organization should notify

Other uses of the Document/Certificate

Please explain what are other uses of obtaining this document/certificate.
e.g. Birth Certificate can be used as proof of identity.

External Links

uganda revenue authority

Uganda TAx card

budget form 2018

Africa Uganda business guide

Others

• Value Added Tax is an indirect tax on consumption.
• It is levied on specified goods and services which are described as taxable supplies, locally manufactured or sold and imported.
• A refund of Value Added Tax (VAT) is provided for under the VAT Act for VAT paid by Diplomats, Diplomatic Missions, Consular Missions and Public International Organizations.