- The bill, proposes among other things a housing levy on workers’ salaries, increased taxes on fuel, and new taxes on beauty products.
- President Ruto said the bill is vital to raise the revenues in order to fund his administration’s maiden budget of Sh3.59 trillion.
Image: FILE
Members of Parliament on Wednesday voted in favour of the Finance Bill 2023, paving way for its determination by the committee of the whole House.
It followed an intense debate in Parliament to discuss the proposed tax measures which 176 MPs voted to endorse at the second reading stage while 81 MPs out of 257 opposed.
The Bill now moves to the committee of the whole House where members will have a chance to push through their amendments.
The Committee will consider the Bill clause by clause and take a vote on each of the clauses.
This is how some of the MPs voted; Bomet East MP Richard Yegon voted Yes, Charles Onchoke (Bonchari) voted no, Raphael Wanjala (Budalangi) voted no, Patrick Kibagendi (Borabu) voted no, Jack Wamboka (Bumula) voted no, Komingoi Kibet Kirui (Bureti) voted yes while Korir Adams Kipsanai (Keiyo North) voted yes.
Kipkoech Gideon Kimaiyo (Keiyo South) voted yes, Beatrice Kemei (Kericho) voted yes, John Njuguna Wanjiku (Kiambaa) voted yes and John Waithaka Machua (Kiambu) voted yes.
Both President William Ruto and Azimio leader Raila Odinga had put their lieutenants on notice that they would be under watch to see which way they would vote on the Bill.
On Tuesday, the National Assembly's Finance and National Planning Committee tabled the amended Finance Bill, 2023 after the public gave its views on the document.
There was an uproar over certain proposals in the Bill, that Kenyans termed punitive.
Some of the proposed levies were revised while others remained the same.
The bill, proposes among other things a housing levy on workers’ salaries, increased taxes on fuel, and new taxes on beauty products.
President Ruto said the bill is vital to raise the revenues in order to fund his administration’s maiden budget of Sh3.59 trillion.
Molo MP Kimani Kuria-led committee resolved to retain the 16 per cent VAT on petroleum products, which will bring tax on petrol to the same level as kerosene and diesel.
The proposed Value Added Tax (VAT) was at 16 per cent and it has not been revised to a lower amount.
Among key amendments to the bill, is the proposed 15 per cent for Digital Content Creators which has been reviewed to 5 per cent.
Also, the proposed three per cent housing levy has been reduced to 1.5 per cent in the new amendments.