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Uganda: Individual Income Tax (Proposed Changes) for 2026

Update: 24 June 2026

The Uganda Revenue Authority (URA) has confirmed that the new tax table takes effect on 1 July 2026.

Our Sage development teams are currently updating the tax files to reflect these changes. We will release the updated tax files announcement in July 2026.

Keep an eye on the Community Hub Announcements forum for further updates.

 

Original post

The Uganda Income Tax (Amendment) Bill, 2026 proposes a change to the resident individual income tax bands by exempting chargeable income up to Ushs 4,020,000 (up from Ushs 2,820,000) and introducing revised progressive marginal rates of 20%, 25%, 30% and 40% on higher income bands.

If enacted as proposed, these changes will take effect from 1  July 2026, at the start of the 2026/27 tax year. The changes have not yet been promulgated.