# What are the PAYE rates in Uganda from July 2026?

Last updated: 25 October 2026
Country: Uganda
Category: Payroll

**Quick answer:** From 1 July 2026: nil up to UGX 335,000 a month, then 20%, 25% and 30%, with an extra 10% above UGX 10 million.

## Detailed explanation

## The bands (residents, monthly)

- Up to 335,000: nil
- 335,001 to 410,000: 20% above 335,000
- 410,001 to 485,000: 15,000 plus 25% above 410,000
- Above 485,000: 33,750 plus 30% above 485,000
- Above 10,000,000: an extra 10%

## The change

The Income Tax (Amendment) Act, 2026 was assented on 20 August 2026 with effect from **1 July 2026**. The old threshold was 235,000. Employers amend July and August 2026 returns filed at the old rates.

## Example

UGX 1,000,000 a month: 33,750 + 30% x 515,000 = **UGX 188,250**.

Source: https://ura.go.ug/en/domestic-taxes/paye-rates/

## Real-world examples

### Employee on UGX 400,000

PAYE is 20% of 65,000, UGX 13,000.

## Common mistakes to avoid

- Running payroll on the old bands
- Not amending July and August 2026

## Frequently asked questions

### When is PAYE due?

By the 15th of the following month.

### Do non-residents get the nil band?

No.

## Practical tips

- Check your payroll software updated its bands

## Related questions

- [How much is NSSF in Uganda?](https://accounts-os.com/ug/questions/how-much-is-nssf-in-uganda)
- [When is the VAT return due in Uganda?](https://accounts-os.com/ug/questions/when-is-the-vat-return-due-in-uganda)