1. What is URA Motor Vehicle Tax?

The URA (Uganda Revenue Authority) Motor Vehicle Tax is calculated based on the fair market value of the vehicle and the applicable tax rate as per 2023 regulations. This tax must be paid when registering or transferring vehicle ownership.

2. How Does the Calculator Work?

The calculator uses the simple formula:

Where:

• \( FMV \) — Fair Market Value of the vehicle (currency)
• \( Rate \) — Applicable tax rate (%)

Explanation: The tax is calculated by multiplying the vehicle's fair market value by the tax rate percentage.

3. Importance of Vehicle Tax Calculation

Details: Accurate vehicle tax calculation ensures compliance with URA regulations, prevents underpayment penalties, and helps in proper financial planning when purchasing a vehicle.

4. Using the Calculator

Tips: Enter the vehicle's fair market value in local currency and the applicable tax rate percentage. Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: How is fair market value determined?
A: FMV is typically based on the purchase price or current market value of similar vehicles in Uganda.

Q2: Are there different rates for different vehicle types?
A: Yes, URA may apply different tax rates for passenger vehicles, commercial vehicles, motorcycles, etc.

Q3: When is this tax payable?
A: The tax is payable upon initial registration and may apply during ownership transfers.

Q4: Are there any exemptions?
A: Some vehicles (like government or diplomatic vehicles) may be exempt. Check with URA for current exemptions.

Q5: Where can I pay this tax?
A: Payments can be made at URA offices or through authorized banks and online platforms.