Govt commences 2025 Budget consultations, studying current tax policy pitfalls

GOVERNMENT has opened submissions from stakeholders on preparations for the 2025 National Budget and the 2025 – 2027 Medium Term Budget Plan, which must outline the pitfalls of the current tax and non-tax policy regime.

All proposals should be submitted between April 1 and April 28, 2024, according to guidance from the Secretary to the Treasury, Felix Nkulukusa, in a statement issued yesterday.

Mr Nkulukusa guided that the proposals must outline the pitfalls of the current tax and non-tax policy regime while explaining how local businesses and other developmental affairs were negatively impacted.

The proposals were also expected to clearly state the sector or policy area of interest for which remedies or stimuli were sought and whether such remedies or stimuli related to policy, strategy, programme, tax, or non-tax measures.

As directed by Mr Nkulukusa, the proposals must justify why the Government should undertake the suggested measures and the expected positive impacts.

“Our appeal to citizens for participation in the budget formulation process, therefore, is made to ensure that the Government and stakeholders move together in streamlining taxation and creating a conducive policy environment for business.

“We also want to move together in creating employment opportunities, generating wealth, mitigating the potential devastating consequences on critical sectors across the country as a result of climate change, and facilitating a sustainable future for all citizens and prosperity for the nation,” Mr Nkulukusa said.

He encouraged submission which clearly stated the areas of public expenditure that needed effective alignment with the Eighth National Development Plan (8NDP).

Submissions were expected to state their expected impact on economic recovery and growth, fiscal sustainability, social sector expenditure, public welfare, and general public service delivery.