Uganda Revenue Authority (URA) through its usual mandate of making sure every company pays its owed taxes fully and monitoring business transactions for any tax evasion has landed on the struggling Buganda Kingdom owned K2 telecom. The struggling telecom’s offices were closed for defaulting over UGX 94.8 m in taxes. The URA manager for public & Corporate affairs Ian Rumanyika confirmed the closure.
K2 Telecom was initially closed last week. It has a debt of Pay As you earn (PAYE) totalling to shs 77.8 m. It also has a debt of local excise duty (LED) totaling to UGX 17 m
K2 Telecom which uses the 073 code was launched in 2013 by Buganda kingdom’s soothing co-operation with Africell Uganda as a Mobile Virtual Network Operator (MVNO). K2 Telecom has about 150,000 registered subscribers as recorded in the previous UCC’s state of telecommunication companies in Uganda after teasing to switch hosts from Africell to UTL.
As K2 Telcom offers both Voice and data services in Uganda. Its official website is currently down confirming the URA closure orders. However, this adds the Telco to a list of Uganda’s sick operators as Vodafone recently closed its Ugandan operations a few weeks before foreign companies picked interest in taking over the once Government owned Uganda Telecom (UTL). However, What could be troubling Uganda’s once prominent Telecommunication companies?
