Constitutional court blocks taxation of MP allowances

The Commercial Court has temporality blocked Uganda Revenue Authority from taxing MPs allowances.

Justice Christopher Madrama has ruled that the stay is to give chance to Parliamentary Commission to exercise its right of appeal against the judgment of Justice Henry Peter Adonyo delivered on 29th,January,2016.

The judge also said the Court of Appeal should be given chance to review the Parliamentary Commission’s grievances before the High Court’s decision is implemented.

Early this week the Commissions lawyer Citina Cherotich argued that if court did not stop URA from collecting this money, it would suffer serious loss and would not be able to cater for the welfare of the MPs.

Cherotich submitted that if the MPs pay the taxes now and they win the appeal, URA may not refund their monies, fears which the tax body allayed.