Listen to This Article Enhance your reading experience by listening to this article.

Name-calling, heated exchanges and emotions characterised debate on the controversial Finance Bill which commenced yesterday after lawmakers maintained hardline positions on whether the bill should be passed or not.

MPs from both sides of the political divide accused each other of exhibiting selfishness for failing to give priority to issues affecting Kenyans.

The MPs were sharply divided on the housing levy which the Departmental committee on Finance and Planning has proposed to reduce from 3 percent to 1.5 percent as well as the petroleum levy that has been retained at 16 percent.

While lawmakers from President Ruto’s Kenya Kwanza side claimed their counterparts were only thinking about themselves especially on the housing levy after benefitting from mortgages from the Parliamentary Service Commission (PSC), those from Raila Odinga’s Azimio La Umoja hit back, accusing their counterparts of bringing a draconian laws that will have negative effects on poor citizens.

Government side

The MPs from the government side led by leader of Majority Kimani Ichungwa, Finance and Planning Committee Chairperson Kuria Kimani (Molo), Majority Whip Sylvanus Osoro as well as Benjamin Lagat (Ainamoi), Adan Keynan (Eldas), Mohammed Ali (Nyali), Ndindi Nyoro (Kiharu), Rindikiri Mugambi (Buuri) and Mary Wamaua (Maragua) asked the House to pass the bill with amendments as proposed by the Finance and Planning Committee as it will change the economy of Kenya.

Ichung’wah told the House to debate the bill with facts and not to mislead Kenyans.

“The Finance Bill should be debated with facts and not use this opportunity to mislead Kenyans deliberately,” he said.

Kuria who moved the bill defended various tax proposals in the bill including the proposed tax on content creators which has been reduced to five percent up from 15 percent saying even other employees such as, nurse’s teachers’ pay taxes.

“Clause 24 introduced Digital Content Monetization at a withholding tax of 15 percent. If you compare it with other professions that legal, accounting fees…all these particular fees are at 3 percent, that’s why we found that charging digital content creators at 500 percent more was unfair and punitive to this growing sector. We propose that this fax be reduced to 3 percent,” he said.

Crypto currencies

He said that if the Bill passes, Kenya will become one of the first countries in the region to recognize crypto-currencies and digital assets as a form of trade and therefore generate revenue from this particular digital. He also supported the housing levy as it will make houses affordable especially at this time when securing mortgages has remained a privilege.

“We agreed it is going to lead to job creation and thus said there is a need for this particular thing. 3 percent is punitive, that is we reduced it  to 1.5 percent. The capping of 2500 would have been discriminatory because those with a higher pay would pay less than those in the lower rank,” he added.

Nyoro said the government needs to collect revenue to finance the Sh3.67 trillion budget.

“As we debate the Finance Bill, what is it that we have a problem with in terms of expenditure? We have to support the revenue side of the budget. Because that is where we draw the resources to be able to take our Kenya forward through infrastructure and any kind of development we’re undertaking,” he said.

Lagat on his part said t the country must be ready to take the necessary painful decisions for Kenya to be in a better position in the future.

“It will be wrong for us to say we remain status quo yet we want to change,” he said.

Osoro said that the housing levy should actually push the house to pass the bill. Ali accused MPs from the opposition side of thinking about their plight especially on the housing levy as they are a beneficiary of mortgages.

“Kenya cannot continue to borrow. We need this bill for one or two years and then we will stabilize. All MPs here have houses, Every MP who comes here and gets loans of Sh30 million to buy a house. Let’s stop selfishness. We have to do this for the sake of Kenyans.  We cannot deny the poor houses and you are benefiting,” he said.

Housing levy

Rindikiri asked the house to pass the bill saying the benefits including those that will emanate from the housing levy outweigh the negatives.

“On the issue of housing, I’m the vice-chair of the housing committee and I’m not ashamed of standing here to say, I’m so impressed by the outcome of this amendment. You are staying in a five-bedroomed house yet you are here telling us not to pass this bill. We want to create affordable houses for our children and future generations. This bill is not only creating houses but also creating jobs,” he said.

But opposition MPs led by leader of minority Opiyo Wandayi, Deputy Minority whip Robert Mbui as well as Fatuma Zainab (Migori), Peter Masara (Suna West), Otiende Amolo (Rarieda), Mishi Mboko (Likoni), Peter Kaluma (Homabay Town) and Memusi Kanchori (Kajiado Central) told their colleagues to shoot down the bill in its entirety.               

Wandayi who termed the bill as insensitive to the plight of Kenyans warned that should it be passed it will create a revolution in Kenya.

“It is going to be a revolution led by the poor hustlers because they’ve had enough. They’ve had enough of lies, they’ve had enough of this chest-thumping, they’ve had enough of this bravado. The hour of reckoning has come. I want to say this that even as we stand here to please our masters out there, you must understand that the greater masters are the people who voted us in. Not those who imposed us on these positions,” he said.

Mbui said as opposition MPs, they will oppose the bill in its entirety as the proposals are punitive.

“We’re being controlled like puppets by the Executive. The Executive stands and says they’re going to watch how we vote. Members of this House must ensure that the independence and the power of this House must be respected. We must reject this bill,” he said. Zainab said a majority of Kenyans do not want the housing levy in total and thus capping it 1.5 percent is still not acceptable.

 “In Migori County we are not aware of that 1.5 per cent, we are telling you we do not want this levy at all, all we want is food. Shame on you, you should be ashamed you are lying either for yourself or for the Government, Keep your agenda and stop shakaholaing us. Stop lying to Kenyans and face realities. Kenyans are tired, they are asking for one thing: food. We do not need this house, as a Muslim my house is waiting for me in heaven, a golden house and I do not want this one from Kenya Kwanza,” she said.