Southern and Eastern Africa Trade Information and Negotiations Institute (SEATINI) Uganda2022-01-042022-01-042014https://nru.uncst.go.ug/xmlui/handle/123456789/1061The East African Community (EAC) identified and prioritized the harmonization of taxation regimes of the Partner States as a way of fostering its goal towards the implementation of the Common Market Protocol. This is on the backdrop that EAC countries have some huge differences in their tax systems including the definitions of their tax bases. These differences invariably confer unfair tax competition and unequal treatment of tax payers, goods and services in the region, which if not addressed distort the effective functioning of the Common Market. Harmonization of tax policies and domestic tax laws is, therefore, an important aspect of macroeconomic convergence that is also one of the benchmarks to be attained for effective functioning of the Common Market thereby facilitating intra-regional trade and investment.en