Uganda: Heritage loses capital gains tax appeal

The United Nations Commission on International Trade Law Tribunal has ruled in Uganda’s favour in its dispute with Heritage Oil over a capital gains tax (CGT) bill. Heritage must also pay $4m in legal fees. The Uganda Revenue Authority (URA) issued Heritage with a $404m tax bill for the sale of its Lake Albert assets to Tullow Oil in January 2010. The company contested its liability for the payment, but lost its challenge at the Tax Appeals Tribunal in November 2011, then decided to appeal at the tribunal.