Airtel Uganda starts refunding customers the 1% mobile money tax paid in error

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On July 28th 2018, Airtel Uganda started refunding customers who paid the 1% mobile money tax error.
The development president Museveni’s order early this month to refund Ugandans who paid 1% percent mobile money tax.

In a statement issued on Facebook, the president revealed that the 1 per cent tax was issued in error. He ordered the tax to be reduced to 0.5 percent. The bill was passed by parliament and signed by the president in error.

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read: Frustration, uproar as social media tax comes into force in Uganda
Early this month, telecoms; Airtel, MTN and Africell Uganda had started charging 1% on mobile money transactions including on withdrawals, sending, deposits and payments after the new tax regime passed by parliament and assented to by President Museveni came into effect on July 1.

Following the president’s directive, Airtel customers have started receiving the refund. Other providers- MTN, Africell are yet to adhere to the president’s directive.

According to Airtel public relations officer, Sumin Namaganda the refund process started on saturday July 28th. Several Airtel customers confirmed [through social media] receiving the refund.

Recently the State Minister for Finance David Bahati revealed that government had collected up to Ugx. 5bn from mobile money tax and Ugx. 2bn from the social media tax in less than two weeks after the new taxes were introduced.

read: 10M Ugandans so far paying social media tax , 7bn collected in 03 weeks– Minister Bahati

read: New report reveals Sharp drop in the number of users of social media, Mobile Money

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