FORT PORTAL: Traders and residents of Fort Portal Municipality will this year have to dig deeper into their pockets to pay taxes for various goods after rates, including transport fares, have been increased in the new urban authority budget.
The secretary for finance, planning and administration, Ms Eunice Habomugisha, presented the 2017/18 Financial Year budget of Shs16 billion last week in which taxes on different items were increased compared to the previous years.
The total local revenue estimates for the FY 2017/18 is Shs491m.
Ms Habomugisha said the new tax rates are meant to help the urban authority achieve targets such as completing the administration block, garbage management, works and engineering at divisions and natural resources.
The new market rate charges for FY 2017/18 budget has been increased by 50 per cent.
The 50 per cent increment on local revenue will affect mostly traders in markets, who sell locally produced goods such as matooke, onions, potatoes, cassava, peas, millet, mangoes, passion fruit, oranges, and water melon.
In the new budget, items such as potatoes, matooke and cassava have seen their taxes increased from Shs1,500 to Shs2,300, while other items such as a bag of onion that was formerly taxed Shs1,000 at the market gate is now Shs3,000.
To further widen the tax base of the urban authority, rates on transport have been also increased top 30 per cent on taxis that park in different taxi parks in town.
The municipal council has proposed to increase monthly sticker fees for public service vehicles to Shs80,000.