What can Uganda businesses claim as expenses?
10 common business expenses with Uganda Revenue Authority (URA)-compliant rules for limited companies, sole traders and contractors in Uganda.
Accountant, Tax Agent and Legal Fees
Yes. Fees for bookkeeping, tax returns, audit and business legal advice are deductible.
Client Entertainment
Rarely. Entertainment and personal hospitality are usually not deductible; check before claiming.
Computers and Equipment
Yes, through wear and tear. Computers, machinery and equipment are depreciable assets claimed over time, not expensed at once.
EFRIS Devices and Integration Costs
Yes. Costs of complying with EFRIS, such as an approved integration or a device, are business costs.
Electricity and Water
Yes for business premises. Electricity (including prepaid tokens) and water for business premises are deductible.
Internet, Phone and Airtime
Yes for the business share. Data bundles, airtime and internet used for the business are deductible; private use is not.
Motor Vehicles and Fuel
Partly. Running costs of vehicles used for the business are deductible for the business share; the vehicle itself is claimed through wear and tear, not as an expense.
Office and Shop Rent
Yes. Rent for premises used for the business is a deductible expense.
Salaries, PAYE and NSSF
Yes. Salaries and the employer's 10% NSSF contribution are deductible. PAYE and the employee's 5% are deducted from pay and passed to URA and NSSF.
Software and Subscriptions
Yes. Software and online subscriptions used to run the business are deductible business costs for a Ugandan company.