‘Kenyans should support govt by fulfilling their tax obligations’ – Muthama
By Francis Muli, June 17, 2024
Former Machakos Senator Johnson Muthama has called on Kenyans to support the government through payment of taxes.
In a statement on social media on Monday, June 17, 2024, Muthama said the only way the government raises funds is through taxes.
In return, Muthama says the government owes accountability to citizens, from whom the taxes are raised.
“The government can only meet its responsibilities if it gets funds to operate, and these funds are primarily raised through taxes. Therefore, it is essential for Kenyans to support their government by fulfilling their tax obligations,” Muthama said.
“After that, we expect the government to use the taxes prudently for service delivery. The government owes Kenyans accountability.”
Taxes in Finance Bill 2024
This comes hours before MPs reconvene on Tuesday, June 18, 2024, to debate on the Finance Bill 2024, which proposes a raft of taxes against Kenyans.
The Bill proposes to increase the excise duty rates applicable to telephone and Internet data services, as well as money transfer services, from 15 per cent to 20 per cent. The Finance Act 2023 had previously reduced the excise duty on telephone and internet data services from 20 per cent to 15 per cent.
The Bill has proposed to increase the rate of the import declaration fee (IDF) to three per cent from the current rate of 2.5% of the customs value of goods imported into the country. The current rate of three per cent had been reduced by the Finance Act 2023 from a rate of 3.5 per cent.
The Bill is also proposing a motor vehicle tax at the rate of 2.5 per cent of the value of the motor vehicle.
The Bill also proposes the introduction of eco-levy on certain goods and products listed in the Fourth Schedule of the Miscellaneous Fees and Levies Act, including office machines, calculating machines, telephone sets (including smartphones), essential packaging plastics, rubber tyres, and diapers.
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