Differences rock Parliament as MPs debate bill
Sharp differences rocked parliament yesterday as MPs debated the controversial Finance bill with those from the ruling coalition maintaining it was good for the country.
Kenyan Kwanza legislators while supporting the bill, defended the Finance Committee for having dropped the otherwise punitive proposals in the bill.
Their minority counterparts pushed for a total rejection of the bill saying the clauses that were retained were punitive and not good for the economy and the people.
The bill entered its second reading yesterday and will continue today before members vote next Wednesday.
Majority leader Kimani Ichung’wah rallied his colleagues to pass the bill singling out the changes made to the Eco levy as good for the country as it will protect local manufacturers.
“What is so wrong with us protecting our manufacturing our manufacturing sector? To the young people mobilized send messages to MPs, this Finance Bill is about creating jobs for you,” noted Ichung’wah.
Taxing systems
Ichung’wah said the bill will address the gaps in the taxing system which ensures the well-connected beat the tax systems by exploiting tax refunds.
“I know many of these members have been intimidated around the country being told “utatupata 2027”. I want to give the highest assurance, what the people of Kenya will judge you against is whether or not you were able to deliver on the promises and pledges you made to them on,” charged Ichung’wah .
Minority leader Opiyo Wandayi called for the rejection of the bill terming it a baggage to the taxpayer.
“No amount of convincing will make some us change our stance and vote for the offensive bill,” Wandayi said.
He continued, “What is so unique with this government that for two years in a row, the matter of Finance Bill is causing hullabaloo, it is commotion, it is causing pandemonium until young children are coming out of streets.”
Nominated MP John Mbadi called on President William Ruto to send home his economic advisors terming them a liability to his leadership.
“I wonder what the so called advisors are doing at State House, they have been goofing in everything they do. The President has two and half years to remedy the situation but he should first remove the team,” said Mbadi.
Deputy Majority Party Leader MP Owen Baya warned that shooting down the proposals in the bill will interfere with the financing of the budget which is set to benefit Kenyans.
“I am sure many other issues that Kenyans have raised but I want to look at the budget. Today, members of this House CDF will have more money than before because it was proposed in the budget and it is going to be financed in the Finance Bill,” Baya warned.
Changes to bill
But in response, Minority Whip Junet Mohammed said even with the changes made to the bill by the committee, the bill still contained proposals that were not good for the economy.
“How many times are we going to change the process of taxation in this country? We are discussing economic growth. Investors have lost faith, we do not have a tax plan, the government keeps making changes which affect them,” Junet noted. Rarieda MP Otiende Amollo claimed that the bill does not protect Kenyans and is not in their interests.
“I have myself recorded 120 reasons for rejection of this Bill. It is sufficient that the professional associations have spoken to this, the church has spoken to this, civil society has spoken to this and Kenyans have spoken to this,” said Amollo.
“It is important to understand that a budget is made for the people; traditionally, it is the people who must be listened to. We have a draft bill whose origins is essentially the Bretton Woods Institutions; IMF and World Bank. These institutions were never made to further the interests of developing countries,” he added.
The legislator also poured cold water on claims by a section of the Kenya Kwanza MPs that if Parliament the Finance Bill is rejected, the country would be in a crisis.
“We will not be in any crisis. Like last year, when the high court stayed the 2023 Bill, the 2022 Bill continued until finally the Bill was cleared,” said the legislator.
Majority Whip Sylvanus Osoro said it was hypocritical to pass the budget 2024/2025 without factoring the financing mechanisms envisaged in the Finance Bill 2024.
“With the additional budget, with the additional needs then it means that we needed to expand our tax base. So that we get that money that you need for development,” Osoro said.
Mavoko MP Patrick Makau said the Kenya Kwanza administration had abandoned the same people who voted for it by overtaxing and failing to protect their interests.
“This government in its manifesto, they said they are going to take care of the hustlers, the mama mboga but when I look at these proposals…none of them was addressing the well-being of those hustlers,” Makau noted.
