The revelation was made by the State Minister for Planning David Bahati while addressing journalists today at Uganda Media Centre.

As earlier proposed by the president, the UGX100 tax will be levied on simcards that use internet to access social media platforms including Facebook, WhatsApp, Instagram, Twitter, Skype among others.

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"The government will collect UGX 100 per day and it will not go beyond that "these tax measures take effect on July 1st, 2018. It is an indirect tax. It is a not a tax on your income, but on your consumption," Minister Bahati said.

The new tax measures are aimed at growing the domestic budget financing with UGX400bn expected to be generated as additional revenue.

These new tax measures will see an introduction of UGX100 tax on each litre of fuel and on 30% of every SACCO net profit.

Earlier this week, Minister of ICT Frank Tumwebaze had clarified on 'social media' tax saying there was no such proposal and no one was going to be taxed for using social media.