Financial experts decry high land taxes, citing hurdles in acquisition process

Financial experts have raised alarms over the high taxes on land, citing their significant role in complicating the land acquisition process and placing substantial financial burdens on both investors and individuals.

Brigadier Joseph Fred Onata, the Chief Executive Officer of Wazalendo SACCO, emphasized that land acquisition remains complex and costly, with taxation being a major deterrent for many potential investors.

“The land acquisition process involves extensive procedures, and taxation continues to be a major financial strain. This has discouraged many from investing in land,” Onata explained.

Experts argue that excessive land taxes limit development and hinder potential buyers, creating barriers for individuals and businesses to secure property.

They are calling on policymakers to reconsider land tax policies to streamline transactions and encourage investment in real estate.

Wazalendo Investment, however, closed the year 2024 on a positive note, posting a profit before tax of Shs 1.6 billion.

The group has also made significant progress in the real estate sector, acquiring 439 plots, with 178 benefiting soldier members.

Additionally, they secured 164 acres of land in Mukono, Namayiba, further strengthening their investment footprint.

Despite these successes, challenges remain. Onata highlighted that the land acquisition process remains highly intricate, often requiring numerous procedures.

The real estate sector is also facing increased competition, with misinformation within the industry adding to the challenges.

Brigadier Onata reiterated the need for a more streamlined land acquisition process, stressing the importance of countering propaganda and raising awareness to clear misconceptions in the market.

With a solid financial standing and a clear expansion strategy, Wazalendo Investment remains poised to pursue new business ventures. While it remains uncertain if the requested Shs 2 billion will be secured, the group’s determination to expand remains unwavering.