Pioneer Easy Bus Company is yet to pay 8 billion shillings in outstanding taxes, seven days after the expiry of the February 27 deadline set by Uganda Revenue Authority (URA).
The agreement to pay the money was arrived at last month after URA impounded over 80 buses belonging to the city public transporter for tax defaulting. In the agreement, the bus company was required to pay URA a sum of 8 billion shillings in tax arrears dating back to March 2012, when Pioneer Bus started operations in Uganda.
URA is now moving to advertise the buses for public auction if a viable response is not arrived at anytime soon. The tax authority told URN on Wednesday that auction is the next option.
A Pioneer bus official Albert Muganga was recently quoted in the media as saying the company had incurred losses of up to 13.2 billion shillings, which he attributed to flaws on the part of Kampala Capital City Authority.
However KCCA has on several occasions denied having any contract with the bus company as it started operations by way of presidential declaration after a planned taxi strike. The KCCA has also constituted a committee to review the contract.
Efforts to contact Pioneer Easy Bus remain futile as their official lines of communication are not being responded to.