Parliament Passes Controversial Digital Tax on Social Media Transactions

In a move that has sparked widespread debate, Uganda’s Parliament has approved a new 5% levy on all financial transactions conducted through major social media and messaging platforms.
Proponents argue the tax will increase domestic revenue and help fund public projects.

Critics, however, say it will stifle the growing digital economy and place an unfair burden on small businesses and the youth who rely on these platforms for trade. The President is expected to sign the bill into law next week.