Muhju Care v Uganda Revenue Authority (Application No. TAT 82 of 2019)
Muhju Care v Uganda Revenue Authority (Application No. TAT 82 of 2019) [2021] UGTAT 17 (31 March 2021)
The Tribunal held that donor funds received by the applicant do not constitute a supply of goods or services under the VAT Act and are not subject to VAT. The correct formula for apportionment of input tax between taxable and exempt supplies excludes donor funds from the computation of total supplies. Medical research does not fall within the exemption for medical, dental, and nursing services under the VAT Act, as interpreted by the ejusdem generis rule. The Tribunal found that the respondent's inclusion of donor funds in the apportionment formula distorted the computation and resulted in an…
Source excerpt
- Vat Liability
- Input Tax Apportionment
- Exempt Supplies
- Donor Funds Taxability
- Medical Services Vat
- Charitable Funding Vat