TaxIntellilytics Stories

The dispatch book · File 005 · last verified 28 October 2026

TaxIntellilytics Stories · The Dispatch Book · taxintellilyticsstories.com/research/reform-tracker/TIL-REF-2026-005 · printed

File 005 · from IMF · to MoFPED and Parliament

Replace tax holidays with expenditure-based incentives.

314days in the tray, no public evidence of actionRecommended 18 Dec 2025

Evidence slip

Sent18.12.25ReviewedLawDone

From IMF · to MoFPED (policy; presents tax bills) and Parliament (enactment) · CIT

“Eliminate tax holidays in favor of expenditure-based incentives.”

section 13, tax policy priorities

contrary law clipped to this file

The desks

Sent18.12.25Uganda: Selected IMF Staff Findings and Policy Recommendatio…
Reviewed
no evidence
Law
no evidence
Funded
no evidence
Under way
no evidence
Done
no evidence
Evaluated
no evidence

Sent, 18 December 2025. Recommended in Uganda: Selected IMF Staff Findings and Policy Recommendations (section 13, tax policy priorities).

The route slip

From finding to result, link by link

Each box is one link of the reform chain. ✓ documented; ? claimed but not documented; · no evidence yet, with what it needs. This file stops at: Action.

  1. FindingDocumentedIMF staff recommend: Eliminate tax holidays in favor of expenditure-based incentives.
  2. ProblemDocumentedProfit-based tax holidays are costly and poorly targeted.
  3. RecommendationDocumented"Eliminate tax holidays in favor of expenditure-based incentives." (IMF (IMF and IDA staff), section 13, tax policy priorities)
  4. Legal powerDocumentedPFM Act 2015 s.8 (the Minister presents tax and revenue bills to Parliament); opened, PFMA-S8
  5. InstitutionNamedMoFPED (policy; presents tax bills) and Parliament (enactment)
  6. ActionNo evidence yetneeds a dated decision, response or delivery document
  7. OutputNo evidence yetneeds a published output measure
  8. OutcomeNo evidence yetneeds an outcome measure with a baseline
  9. EvaluationNo evidence yetneeds an evaluation with a stated method

In the amendment register

contrary law

Income tax exemption for large hotel and tourism developments

Income Tax (Amendment) Act 2026 · signed 20 August 2026

Open the register's case file ITA-2026-HOTELS →
contrary law

Three-year income tax exemption for start-ups founded by citizens

Income Tax (Amendment) Act 2025 · signed 30 June 2025

Open the register's case file ITA-2025-STARTUPS →

Why it was recommended

Finding. IMF staff recommend: Eliminate tax holidays in favor of expenditure-based incentives.

Problem. Profit-based tax holidays are costly and poorly targeted.

Strength of the evidence behind it: medium.

Note. After the recommendation, the Income Tax (Amendment) Act 2026 added a new holiday for large hotel and tourism developments (register ITA-2026-HOTELS), and the 2025 Act a three-year start-up exemption (ITA-2025-STARTUPS).

Who has the power to act

MoFPED (policy; presents tax bills) and Parliament (enactment). Legal power checked: PFM Act 2015 s.8 (the Minister presents tax and revenue bills to Parliament); opened, PFMA-S8.

Sources