Guide to 'Motor Vehicle Import Tax'

Common terms used in Importing Vehicles into Uganda
Customs Value (CIF): The Uganda Revenue Authority (URA) releases fixed customs values almost every month. These are available on their website to Used Motor Vehicle Indicative Value Guide under Customs Tax Guide.

Engine Size: The Uganda Revenue Authority (URA) levies duty on engine size – the bigger the engine, the greater the duty. This reflects the value to the Ugandan economy of cars with greater engine capacity which acts as a proxy for higher fuel consumption.

Manufacturing Age of the Car: All imported cars above 10 years from the current year are levied an environmental penalty tax of 50% of the value of the car while those above 5 years but below 10 years are taxed at 35%. However, In addition to computation of taxes, newer cars are valued higher, and therefore attract a higher overall tax than old ones.

Exchange Rate: The Uganda Revenue Authority (URA) values the cars for tax purposes in US dollars to obtain the customs value in Uganda shillings. The exchange rate is adjusted every month. The lower or a depreciating dollar means a relatively lower tax bill and the reverse is true.

Registration fees: This fee is around UShs1, 200,000 for a standard car and 1,700,000/- for heavy engine cars. It is best thought of as the tax fee for number plates.