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Alcohol beverages worth Shs2 billion destroyed under digital tracking policy

Uganda Revenue Authority (URA) has destroyed a truckload of beverages worth tax revenue of Shs2 billion.

Alcohol beverages worth Shs2 billion destroyed under digital tracking policy

The goods were destroyed in Nakasongola District after they were seized by manufacturers and traders. According to URA, the responsible parties failed to adhere to the policy of sticking Digital Tax Stamp (DTS).

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DTS is part of the digital tracking system which was implemented in 2019 for a number of products such as spirits, mineral water, sugar, and wine, among others.

According to Robert Lumanyika, the URA acting manager of public and corporate affairs, 13,391 cartons of spirits were destroyed in the crackdown.

He said the decision to destroy the goods was a lack of assurance that they conform to set standards.

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Manufacturers of alcoholic and non-alcoholic beverages are required to secure both the standards conformity stamp and a digital tax stamp for the tax body to track the quality and number of goods released into the market.

“We may be losing revenue for the government but health comes first. If what you consume does not have the required stamps then, that might be a dangerous product,” he said.

Lumanyika noted that URA has on several occasions issued reminders to manufacturers to claim their products with a digital stamp.

The digital tax stamps have unique features set by URA among which is the color shift when a product is tilted. The stamp is also readable on the kakasa app.

Products that have been gazetted for the digital tracking solution include beer, spirits, fruits, vegetable juice, soda, wine, mineral water, cement, sugar, cooking, oil, fermented beverages, non-alcoholic beverages, and tobacco products.

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