The Effects Of Taxation On The Income Of Small Business Community: Case Study Of Bundibugyo Town Council Bundibugyo District Western Uganda

ABSTRACT

The topic of the study was the effects of taxation on the income of small business community

case study ofBundibugyo town council Bundibugyo district western Uganda, the problem of the

study was to have proper tax structures in Bundibugyo town council Bundibugyo district western

Uganda.

The purpose of the study was to establish the relationship between taxation and the income of the

small Business community in Bundibugyo town council Bundibugyo district western Uganda.

The objectives of the study were;

To find out the types of taxes in Bundibugyo town council Bundibugyo district western Uganda;

to establish the relationship between taxation and the income of the small business community in

Bundibugyo town council Bundibugyo district western Uganda; to establish the effects of

taxation on the income of small business community in Bundibugyo town council Bundibugyo

district western Uganda; to find out ways of how Bundibugyo town council can improve its tax

structure.

The research used both qualitative and quantitative data collection instruments such as

questionnaires and interviews.

The findings of the study indicated the following;

The various types of taxes used in Bundibugyo district western Uganda are real property tax,

wealth tax, excise tax, a sale tax among others; there is a relationship between taxation and the

income of small business community in Bundibugyo town council Bundibugyo district; the

effects of taxation on the income of small business community are effects on ability to work, on

ability to save, on ability to invest, on the will to work, will to invest, on income distribution and

others.

In conclusion, the types of taxes used in Bundibugyo town council Bundibugyo district and real

property tax, wealth tax, sales tax, excise tax among others; there is a relationship between

taxation and the income of small business community in Bundibugyo town council Bundibugyo district; the effects of taxation on the income of small business community are effects on the ability to work, ability to save, ability to invest, will to work, will to invest and on the income distribution.

The recommendations of the study were;

Bundibugyo town council should have a tax structure which has the following characteristics; have shared benefits, the burden of the tax should be equally shared; the tax system should recognize the rights of the tax payers among other.