What is VAT Registration Threshold (Uganda)?
The level of annual taxable turnover above which a business must register for VAT with URA.
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Current Rate (Turnover is tested over twelve months and over any three consecutive calendar months (UGX 75 million from 1 July 2026, UGX 37.5 million before).)
UGX 150 million a year until 30 June 2026. UGX 300 million a year from 1 July 2026, or UGX 75 million in any three consecutive calendar months.
Example
A consultancy with UGX 200 million of annual turnover had to register under the UGX 150 million threshold. Under the UGX 300 million threshold it would not need to, unless its turnover in any three consecutive months passed UGX 75 million.
How VAT Registration Threshold (Uganda) works in Uganda
The UGX 300 million threshold is in force from 1 July 2026. Older URA guides still show UGX 150 million. A business must also register if its turnover in any three consecutive months passes UGX 75 million.
A business below the threshold can still register voluntarily, which lets it recover input VAT.
Related terms
Value Added Tax on taxable supplies of goods and services in Uganda. The standard rate is 18%, with zero-rated and exempt supplies.
The Electronic Fiscal Receipting and Invoicing Solution run by URA. Every VAT-registered business, and non-VAT businesses in twelve gazetted sectors, must issue invoices and receipts through it.
A simplified final tax on turnover that applies by default to a resident small business with annual turnover up to UGX 150 million. The business can elect out and be taxed on profit instead.
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