Government to Block VPN

Government to Block VPN

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An argument broke out in the house over the OTT tax

By PAUL WAISWA

The outburst of OTT tax brought up divergence in people’s minds some saying it was okay for the government to collect a specific MUST pay amount, a conduct which was not appreciated by majority of the citizens across all levels that included some government officials, entertainment stake holders among other dignitaries.

The exercise had perfected but suddenly a few days down the road, legislators through chaotic and peaceful means acted against the exercise leaving some citizens opting for VPN app as a remedy to dodge paying OTT. Remember, Uganda Revenue Authority (URA) collected UGX20.5bn of the expected UGX24.9bn in the first quarter which ended in September.

The country’s State Minister of Finance for Planning David Bahati said some people are not paying OTT tax, commonly known as social media tax, but instead using VPN applications to bypass the tax which came into effect on July 1st.

“We have studied and some people are using them to dodge OTT…We are working on it to ensure that it’s collected. I’m sure that in a few months the system will stabilize and we shall see some growth on OTT tax revenue.”

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