Methodology - Uganda (2026)

Educational model - not a URA assessment, not a tax return, not tax advice. Currency UGX.

Employee (PAYE)

This model uses the FY 2025/26 resident PAYE MONTHLY scale (in force to 30 Jun 2026): 0% up to 235,000; 10% to 335,000; 20% to 410,000; 30% to 10,000,000; and an additional 10% on the portion above 10,000,000/month (effective 40% top). From 1 Jul 2026 (Income Tax (Amendment) Act 2026) the scale is restructured: the tax-free threshold rises to 335,000 and a new 25% band is added on 410,000-485,000/month. This is documented, not yet applied - the calculator keeps the confirmed FY 2025/26 scale.
PAYE is charged on GROSS employment income. The employee NSSF 5% is NOT deductible from the PAYE base (unlike e.g. Tanzania).
NSSF: employee 5% + employer 10% (total 15%) of gross, no ceiling, mandatory for all employers.
Out of scope: LST (Local Service Tax - small, local-government-specific, capped UGX 100,000/year, deducted Jul-Oct), the non-resident scale (10% from the first UGX), and the FY 2026/27 band restructure.

Default regime: the resident individual progressive scale (annual 0/10/20/30% + additional 10% over UGX 120,000,000, tax-free up to 2,820,000/year) applies to net business profit (revenue minus deductible expenses).
Out of scope (documented alternative): the presumptive small-business regime for turnover below UGX 150,000,000/year (final tax; below 10,000,000 exempt; with records roughly 1% / +1.5% / +2% / +3% by turnover band). NSSF for the self-employed is voluntary.