Kenya’s tax proposals that have triggered protests

C076bcb0 32d3 11ef bdc5 41d7421c2adf.jpg

Amendments to the bill look set to be approved but some of the controversial provisions initially put forward included a plan to introduce a 16% sales tax on bread and 25% duty on cooking oil.

There was also a planned increase in the tax on financial transactions as well as a new annual tax on vehicle ownership amounting to 2.5% of the value of the vehicle.

The government said it was dropping these measures amid a public outcry.

The eco levy, described as a charge on products that contribute to e-waste and harm the environment, was another key provision of the bill that the government has now suggested amendments to.

Critics pointed out that it would lead to the increase in the cost of essential items such as sanitary pads, which was seen as insensitive, as there are many girls who, unable to afford these products, often miss school during their periods.

Babies’ nappies would also be affected.

Following an outcry, the government said the levy would apply only on imported products, arguing that this would the boost growth of local industries.

The other key target of this eco levy is digital products, including mobile phones, cameras and recording equipment as well as TV and radio equipment. A rise in the cost of these products is seen as harmful to the growth of the digital economy, which many Kenyans rely on for their livelihoods.


Source link

Check Also

Bb401ed0 1eb9 11f0 b1b3 7358f8d35a35.jpg

‘His love for the continent was great’

Beryl Munoko & Damian Zane BBC News AFP During his 2015 trip to the Central …

Leave a Reply