Not enough! Kenyans dissatisfied as gov’t drops select tax proposals in Finance Bill

Kenyans online on Tuesday expressed their dissatisfaction with the government following the scrapping of several levies proposed under the unpopular 2024 Finance Bill.

National Assembly Finance Committee chairperson Kuria Kimani told a press conference that after pressure from Kenyans, the government had dropped among others the plan to impose a 16 per cent Value Added Tax on bread, financial services and foreign exchange transactions.

The contentious motor vehicle tax was also scrapped, alongside excise duty on vegetable oil, while locally-made goods were exempted from the proposed Eco Levy.

Meanwhile, the proposed excise duty on eggs, onions and potatoes was scrapped for local produce. It will only be levied on imported products.

Nonetheless, Kenyans maintained that controversial proposals remained in the bill, such as amending the Data Protection Act to give Kenya Revenue Authority (KRA) unrestrained access to taxpayers’ personal data.

 They called for the whole bill to be discarded.

“VAT on cancer treatment still remains, Land rates taxes still remain. Data Privacy is still a big question. The Bill should be rejected in its entirety,” X user @Godwin_Murithi said.

Others termed the changes as just the government’s window-dressing efforts at the bill.

“Let's not be hoodwinked. It's not over till it's over,” said @Douglasorangi.

The government announced changes to the bill as Kenyans were kicking off demonstrations at the Nairobi city centre to pressure lawmakers against passing the bill ahead of its tabling before the House later in the afternoon.

The demonstrations dubbed ‘Occupy Parliament’ saw police arrest and lob tear gas canisters at protesters who marched across Nairobi’s central business district with placards urging President William Ruto’s governments to back down on his tax push.

MPs are set to debate the bill on Wednesday and Thursday.

“Ruto must go!” protesters chant as MPs arrive in Parliament for the tabling of Finance Bill pic.twitter.com/UCZXmtOI0e