Kampala, Uganda – Traders operating out of Zainabu‑Aziiza Emporium and Hardware City in Nakasero made headlines after staging a walkout protest against what they described as unfair, prohibitive tax measures.
In response, security forces from both the police and Uganda People’s Defence Force (UPDF) were deployed to downtown Kampala in a show of force during the demonstration.
The protest centered on multiple grievances including traders complained of new container tax directives requiring each importer to clear goods under individual TINs, ending the shared-container model that allowed installment payments.
They cited poor implementation and high costs associated with the Electronic Fiscal Receipting and Invoicing System (EFRIS), a digital VAT collection platform enforced by URA in early 2024. Many traders lacked computers or skills to input sales data, compounding burden on small operators.
Added to this were new landlord charges imposed at 18% above rent and presumptive tax, which traders slammed as double taxation and revenue overreach.
These policies, they argued, disproportionately hurt small traders, especially those in Kikuubo and Nakasero markets, who already operate on thin margins.
Security deployment across Kiseka Market and Kikuubo caused disruption. Traders noted that the presence of armed forces did more to scare away customers than maintain order.
Police warned that some politicians might be trying to hijack the protests, turning a business demonstration into countrywide unrest, a charge that traders largely rejected, calling their demands purely economic and survival-driven.
In April 2024, under KACITA and UATEA leadership, traders shut down shops across Kampala in opposition to EFRIS enforcement, prompting Parliament Speaker Anita Among to summon the Finance and Trade ministries for resolution.
A meeting at Kololo between traders and President Museveni resulted in promises to refine tax timelines, though many traders remained skeptical due to delays and weak follow-up.
While no party has formally co-opted the protest, observers note that the alignment of opposition rhetoric and trader grievances creates fertile ground for political messaging ahead of 2026.
Traders, led by associations like KACITA, have petitioned Parliament and plan follow-up meetings with URA and ministries.
Kampala traders’ protest is more than a taxation dispute. It is symptomatic of policy design without stakeholder input, economic marginalization of micro traders, and underlying discontent with governance processes.
As security forces hold the streets, the voices of traders are demanding a recalibration not just in tax policy, but in how reforms are made and communicated.
Also read: Amuriat Steps Aside for Nandala Mafabi in FDC Presidential Race
