By: Ann Mbugua
Since the tabling of financial bill, 2023 in parliament by the Kenya treasury cabinet secretary on 28th April 2023, kenyans have been in a state of uproar seeing as the bill seeks to amend various taxes that will directly affect them.
At the moment kenya’s economy seems to be in the trenches as the cost of living continues to rise with every waking day. The amendment of taxes that will take effect on 1st of july once it is passed by parliament and assented by the president, will cut across taxes such as Income Tax Act (ITA), VAT Act, 2013 (VAT Act), Excise Duty Act, Tax Procedures Act, 2015 (TPA), and Miscellaneous Fees and Levies Act. https://www.ey.com/en_gl/tax-alerts/kenya-proposes-tax-changes-under-the-finance-bill–2023
The finance bill has been met with a lot of criticism from the common ‘mwananchi’ , financial experts and even the opposition with the former prime minister, Raila Odinga terming it as the ‘tsunami of taxes’.
Critiques have stated that no one will be spared once the bill is passed especially the low income earners who are at the moment facing hard times and living from hand to mouth .
President Ruto has since defended the financial bill stating that “he intends to rebuild the country’s economy and get government finances back on track.” Many people are saying you can’t tax yourself into prosperity and that is correct but you cannot accumulate debt into bankruptcy as an option,” he told reporters on Sunday June 3, 2023
Despite garnering support from various leaders in the leading party there is still a section of leaders especially members of parliament who have outrightly opposed the bill ,the president and his deputy have issued warnings to parliamentarians who seek to oppose the bill sighting that consequences will follow.
