Government has proposed new excise taxes on imported spirits and cement under the Excise Duty (Amendment) Bill, 2026, aimed at raising additional domestic revenue.
The Minister of State for Finance (General Duties), Henry Musasizi, tabled the bill before Parliament of Uganda, seeking approval to introduce a levy of Shs3,500 on imported undenatured spirits with an alcoholic strength of less than 80 percent by volume.
According to the proposal, the levy will apply to all imported alcoholic spirits within this category, in a move the government says is intended to streamline taxation on alcoholic beverages entering the country while boosting revenue collection.
In the same amendment, the government is also proposing the introduction of a Shs1,000 excise duty on every 50-kilogram bag of cement, including related construction materials such as adhesives, grout, white cement, and lime.
If approved by Parliament, the new taxes are expected to take effect in July 2026. This is likely to lead to an increase in the prices of cement, other construction materials, and imported spirits on the Ugandan market.
The proposals form part of the government’s broader tax policy measures aimed at widening the tax base and enhancing domestic revenue mobilization to support national development programmes.