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Social media blackout hits Uganda as new govt tax takes effect


Many Ugandans on Sunday were plunged into social media blackout after the government directive to charge users took effect.

Last month, Uganda’s parliament passed new laws which introduced a new tax on use of popular social media platforms including WhatsApp, Facebook, Twitter, Google Hangouts, Yahoo Messenger, Instagram, YouTube and Skype.

Users of these platforms are now required to pay Sh5.20 (UGX200) daily before they can access them.

NTV Uganda in a tweet on Sunday confirmed that many Ugandans are unable to access their social media platform.

“Many Ugandans online unable to access social media platforms like Facebook, Twitter and Whatsapp following government directive to tax users UGX 200 daily before they can access them. The directive was effected today (Sunday) at midnight,” NTV Uganda tweeted.

President Yoweri Museveni had pushed for the changes, arguing that social media encourages gossip.

DOUBLE TAXATION

The law was passed despite stiff resistance from a section of younger lawmakers led by the vocal Kyaddondo East MP Robert Kyaggulanyi aka Bobi Wine, who stated these taxes amounted to double taxation.

Ugandan government however argued that the needs of poor citizens had been considered and that the revenue collected from the new taxes would be used to provide services such as free education, free healthcare and free roads that are demanded by the citizens.

The new Excise Duty (Amendment) Bill will also impose various other taxes, including a 1 percent levy on the total value of mobile money transactions.

State Minister for Finance David Bahati told parliament that the tax increases were needed to help Uganda pay off its growing national debt.

In a joint statement on Friday Uganda’s major telecom operators, including the local division of South Africa’s MTN Group, said they will ask customers to pay a new government tax on social media accounts before they can access them.