Quantum Logistics, the logistics firm owned by jailed Mathew Kanyamunyu has come out to explain the circumstances under which URA closed them off.
In the letter which TrumpetNews exclusively accessed, the General Manager George Odeke lashes at URA over what he termed a ‘bumptious decision laced with notoriety’.
Background to the tussle
URA yesterday swung into action closing off Quantum Logistics over VAT return arrears amounting to 13million shillings.
The closure which has since attracted alot of public attention over what the public believes is unfair owing to the ‘paltry’ amount of money owed.
Quantum Logistics reacts.
The letter directed to URA explains how Quantum Logistics is a fully registered company and has over the years done their social responsibility including paying all their due taxes amounting to over 500 million over the years.
Quantum Logistics letter as written by the GM is produced below
Quantum Express Logistics LTD (QEL) is an ISO Certified Logistics company that has been licensed by Uganda Revenue Authority (URA) to carry out Freight Forwarding services evey year for the last six (6) years.
URA does not issue licenses to companies that have not been compliant in their tax obligations.
Over the last five years, QEL has paid close to UGX500 Million in taxes to URA. Over the same period, there has accrued close to UGX300m owed to us in withholding Tax (WHT) credits.
Sometime at the end of Last year, URA carried out an audit and claimed to uncover UGX 12M in unremmited VAT dating back to the year 2012 and added to it penalities of UGX13M. URA then threatened to withhold our licensing over the outstanding VAT payments and penalities amounting to UGX 25 Million. We found it unreasonable that they should take such brash action when the body effectively owed us over 10 times more. We sought audience with the Commissioner General with a view of offsetting the insignificant VAT arrears with our WHT credits. She promised to look into the matter and have it resolved. In the meantime we were asked by the licensing department to make undertakings to clear the said arrears if we were to be licensed for the year ending December 2017. We had no choice but to comply as we awaited the CG’s intervention. Despite many reminders to her office no action was taken to resolve our concerns until last week when URA unilaterally and without warning closed our offices.
Such a bumptious decision could not have been made for any other reason other than for its notoriety in broadcasting URA’s – otherwise lacking- competence and vigilance.