Government of Kenya has this afternoon dropped several taxation proposals after activists held demos around parliament this morning.
It was a morning of protests in Nairobi as activists and Kenyans of all walks of life came in numbers to block legislation of the Finance Bill 2024.
The activists say that the bill was draconian and oppressed the ordinary Kenyan.
The bill was opposed over some of its contentious proposals, including 16 per cent VAT on bread, a 2.5 per cent motor vehicle circulation tax and others that could see an increase in the cost of mobile money transfer, airtime, and internet data bundles. There has also been concern over the environmental tax, which they say will increase prices for all plastic packaging materials, batteries and hygiene products.
On budget day, a man identified as Eric Mankuyu was arrested as he attempted to grab the budget bag from the Cabinet Secretary of the Treasury. Mankuyu was charged with disturbance in a manner likely to cause a breach of peace by yelling, shouting and attempting to disrupt a photo shooting session by the Cabinet Secretary Treasury and Economic Planning and his delegates.
In the courtroom, Mankuyu lectured the court about the deplorable and insufferable cost of living in Kenya.
Apart from the 16 percent VAT on bread, the Chair of the Finance Committee of Parliament Kuria Kimani announced that VATs on transportation of sugar, and on financial services and foreign exchange transactions was dropped.
The proposed increase on Mobile Money transfer charges, a 2.5 percent motor vehicle tax, plus excise duty on vegetable oil were dropped. Additionally, locally manufactured products like sanitary towels, diapers, computers and tyres will not attract the environmental tax.
