Question .3.

a) During a workshop organized by ICPAU to sensitize small and Medium traders in Kampala, one of the traders explained that the reasons they do not want to pay their employees a lot of money is that allowances are taxed by URA and yet they do not see the contribution to the development of Uganda and that he has never heard any form of employment that is not taxed by URA.As a student of Advanced tax in attendance to that workshop, you feel there is a contribution you should make in as far as employment income is concerned. Go ahead and explain with illustrations.

(6 marks)

b) Assuming you have been offered a job as Revenue tax Officer at URA, and you have

been hearing that there is a lot of tax evasion in the central business in Kampala what measures

would you suggest that would help your department curb the device? (4 marks)

d) Show how chargeable employee income is arrived at and accounted for, with reference to the employment Act for a resident person in Uganda.