Treasury Cabinet Secretary Njuguna Ndung’u has presented the national budget for the financial year 2024/25.....CLICK HERE TO READ THE FULL ARTICLE>>>
During the presentation, CS Ndungu noted that the government needs to broaden the tax base and increase revenue collections.
Although the CS changed one of the proposals that contained in the Finance Bill 2024 which is currently in parliament he emphasised the need to charge an annual tax on motor vehicles.
The Finance Bill 2024 proposed increasing excise duty to 20%, a move that critics and market players said would reverse much of the progress made in digital money transfers and financial inclusion.
Critics argued that raising excise duty would push more Kenyans from using mobile money services to cash transfers.
On the other hand, the fate of the Motor Vehicle Tax remains with the parliament as the CS emphasised the need to introduce the annual tax to broaden the tax base.
The Finance Bill 2024 also proposed an introduction of an annual tax on all motor vehicles, a proposal that has been met with significant opposition from the public and industry players.
In recent discussions with the National Assembly’s Finance and Planning Committee, the Federation of Public Transport Sector highlighted the heavy burden the proposed tax would place on vehicle acquisition and maintenance.
The federation warned that these costs will be passed to the citizens through increased fare prices. National Treasury Cabinet Secretary (CS) Njuguna Ndung’u sought to impose a 16% VAT on bread to raise revenue for the 2024/25 budget.
Kenyans will have to dig more into their pockets to buy cooking oil if a proposal to increase excise duty on edible oils in the Finance Bill 2024 passes…CONTINUE READING>>
