NAIROBI, Kenya, June 14 – Nine in ten Kenyans (90 percent) are against the Finance Bill 2023, which seeks to introduce new taxes on Kenyans.
Three out of four (75 percent) Kenyans also said that their income is insufficient to meet their needs.
This is contained in the latest data from the Centre for Fiscal Affairs (CFA), titled ‘State of the Nation’.
60 percent of Kenyans agreed that inflation and the cost of living were top priorities for Kenyans.
President William Ruto’s administration is seeking to pass a new law that will see Kenyans pay more taxes.
The new bill seeks to introduce higher new taxes that the government is betting on to achieve its manifestos, such as affordable housing and supporting the local manufacturing industry, among others.
Some of the proposals include the introduction of the export and investment promotion levy, growing the turnover tax to three percent from one percent, and increasing the value added tax (VAT) on petroleum products from the current 8 percent to 16 percent.
It is also proposing a three percent housing contribution for the employed, which will be matched by employers.
Further, the report indicates that half of business owners (49 percent) reported a drop in demand for products (19 percent), a high cost of inputs (14 percent), a lack of working capital (8 percent), and low profit margins (8 percent).
“We urge the members to reject the proposed amendments that have the potential negative impact on Kenyans who are already suffering, and on the economy in which deficits are continuing to grow and national revenue is declining and reject those,” CFA added.
“We ask the president not to assent to the Bill if it is passed with provisions that will continue to hurt the already hurting Mwananchi.”
