Value added tax was recently introduced to all key tourism services but it has been removed. this is to help in increasing Uganda safaris since the cost of accommodation will certainly reduce which will help in attracting more visitors to Uganda. This will also help in increasing the revenues of the country, hence developing the tourism sector.
Recently all the accommodation facilities in the country where entitled to pay 18% VAT to the government, this largely affected the tourism sector because the number of tourists who come for safaris to Uganda had reduced, this was largely because the rates for both the lodges and the hotels were so high and this discouraged the travelers to make trips to Uganda.
The parliament recently agreed with the ministry of tourism to remove this VAT in order to encourage the proper development of the tourism industry and also to encourage more tourists to safari Uganda, this will help the accommodation owners to reduce the rates for the lodges especially those in the main national parks in Uganda.
The tour operators all over the country have greatly welcomed the idea saying because it going help to increase the numbers of tourists who come to Uganda for safaris, this will however, help in increasing the revenues of the sector and also helping in the development of the country at large.