Artificial Intelligence can transform Uganda’s taxation, says URA boss

The Commissioner General of Uganda Revenue Authority (URA), John Rujoki Musinguzi, officially inaugurated the ISBAT University AI and Robotics Laboratory yesterday, marking a significant milestone in Uganda’s technological advancement.

At the launch ceremony held at the university’s main campus in Lugogo, Musinguzi emphasized the transformative power of Artificial Intelligence (AI) in various sectors, particularly in taxation. He highlighted how AI has already played a crucial role in identifying and recovering lost revenue.

“Last year alone, URA recovered 200 billion shillings in revenue leakages uncovered through the use of AI,” Musinguzi said.

He elaborated on how AI helped to identify areas of tax evasion, such as undeclared imports and false VAT claims, underscoring its potential for real-time data analysis.

“Imagine the impact if we can analyse imports in real-time and flag suspicious shipments instantly,” he added. The URA Chief noted that such advancements would not only benefit tax collection but also foster a more efficient system for businesses complying with the rules.

Musinguzi also addressed the broader societal benefits of AI, noting its importance beyond taxation. He pointed to its application in fields like health and agriculture, areas that are vital to the growth of Uganda’s economy. He urged the students present to take full advantage of the opportunities the lab offers, encouraging them to apply their AI knowledge to solve real-world challenges.

“The future of AI is in your hands. This lab will give you the platform to test, apply, and research real AI applications. Don’t take this opportunity lightly. Use it to shape the future,” Musinguzi told the students.

In support of fostering practical learning, Musinguzi pledged that URA would provide opportunities for ISBAT students to intern and gain hands-on experience with real-life data applications.

The Chancellor of ISBAT University, Honourable Fred Omach Mandir, thanked Musinguzi for his contribution to Uganda’s technological progress, especially in AI.

“This AI laboratory is a major step in equipping our students with the tools they need to solve real-time problems. We look forward to future collaborations with URA to further develop this innovation,” said Mandir.

Mr. Varghese Mundamattam, Chairman of the ISBAT University Board of Directors, stated that the AI lab is part of a broader vision to position Uganda as a leader in the emerging AI era.

“With the support of the government, particularly in areas like tax exemptions, we are confident that more investments will follow, ensuring that Uganda remains competitive on the global stage,” Mundamattam added.

Musinguzi also addressed the subject of taxation exemptions for emerging technologies like AI.

While acknowledging that AI is not currently covered by existing laws, he advised those interested to follow the formal process through the Ministry of Finance, Planning, and Economic Development, which would draft a bill for Parliament’s consideration.