Tax on property income in Uganda
Effective Tax Rate on Rental Income | |||
| Monthly Income | €1,500 | €6,000 | €12,000 |
| Tax Rate | 15.00% | 15.00% | 15.00% |
| Click here to see a worked example | |||
| Source: Global Property Guide research | Disclaimer | ||
INDIVIDUAL TAXATION
Nonresidents are taxed only on income derived from sources located in Uganda. Married couples are taxed separately.
The tax year is from 01 July of the current year to 30 June of the succeeding year. The tax year 2020 is from 01 July 2020 up to 30 June 2021. The tax year 2021 is from 01 July 2021 up to 30 June 2022.
INCOME TAX
Income of nonresidents is generally taxed at progressive rates.
INCOME TAX PER MONTH FOR NON-RESIDENTS 2020-2021 |
|
| TAXABLE INCOME, UGS (US$) | |
| Up to 335,000 (US$91) | 10% |
| 335,000 - 410,000 (US$111) | 20% on band over US$91 |
| Over 410,000 (US$111) | 30% on all income over US$111 |
| Source: Global Property Guide | |
INCOME TAX PER MONTH FOR NON-RESIDENTS 2020-2021 |
|
| TAXABLE INCOME, UGS (US$) | |
| Up 4,020,000 (US$1,087) | 10% on band over US$762 |
| 4,020,000 - 4,920,000 (US$1,330) | 20% on band over US$1,087 |
| Over 4,920,000 (US$1,330) | 30% on all income over US$1,330 |
| Source: Global Property Guide | |
INCOME TAX PER YEAR FOR NON-RESIDENTS 2019-2020 |
|
| TAXABLE INCOME, UGS (US$) | |
| Up to 4,020,000 (US$1,087) | 10% |
| 4,020,000 - 4,920,000 (US$1,330) | 20% on band over US$1,087 |
| 4,920,000 - 120,000,000 (US$32,432) | 30% on band over US$1,330 |
| Over 120,000,000 (US$32,432) | 40% on all income over US$32,432 |
| Source: Global Property Guide | |
RENTAL INCOME
Rental income earned by nonresidents exceeding is taxed at a flat rate of 15%, withheld by the tenant. This is a final tax.
CAPITAL GAINS
Capital gains realized by nonresidents are considered as income and taxed at the standard progressive income tax rates. When computing taxable capital gains, acquisition costs and improvement costs are deductible from the property value at the time of the sale or sales price of the property.
INCOME TAX FOR NON-RESIDENTS |
|
| TAXABLE INCOME, UGS (US$) | |
| Up to 4,020,000 (US$1,087) | 10% |
| 4,020,000 - 4,920,000 (US$1,330) | 20% on band over US$1,087 |
| 4,920,000 - 120,000,000 (US$32,432) | 30% on band over US$1,330 |
| Over 120,000,000 (US$32,432) | 40% on all income over US$32,432 |
| Source: Global Property Guide | |
PROPERTY TAX
Property Tax
Property taxes are levied by the local governments and the tax base is the rateable value of the property (which takes into account the nature of the property concerned and value of improvements). The tax rates are determined by the local authorities but a maximum of 2% is prescribed by law.
CORPORATE TAXATION
INCOME TAX
Income and capital gains earned by companies are generally taxed at a flat rate of 30%. Income-generating expenses are deductible when calculating taxable income.