@article{Lakuma:291791,
      recid = {291791},
      author = {Lakuma, Corti Paul},
      title = {Attracting Investments Using Tax Incentives in Uganda: The  Effective Tax},
      address = {2019-03-30},
      number = {677-2019-2715},
      series = {148},
      pages = {24},
      month = {Mar},
      year = {2019},
      abstract = {Uganda operates a wide array of tax incentives schemes to  attract investments like other countries in East Africa.  However, due to significant amount of revenue foregone due  to such schemes, Uganda has embarked on the process of  rationalizing its overall incentive regime. This study  examines the tax burden of various tax incentives schemes  operational in Uganda by estimating the effective marginal  tax rates (EMTR) and effective average tax rates (EATR). We  find sectoral variations in effective average tax rates due  to a selective tax holiday and preferential income tax.  Overall, tax holidays and preferential income tax rates  lower the effective tax burden to a single digit percent  and encourage individual tax avoidance strategies. We find  that the surge inflation registered during 2010/11 had an  adverse effect on effective tax rates. Furthermore, our  results confirm in previous findings that tax holidays  effectively reduce EATR and favour high-profit short-lived  (less than 5 years) investment projects raising doubts  about their overall rationale.},
      url = {http://ageconsearch.umn.edu/record/291791},
      doi = {https://doi.org/10.22004/ag.econ.291791},
}