MPs vote to retain 5% tax on digital content in Finance Bill

Seme MP James Nyikal had sought its removal through an amendment.

In Summary

• The sitting of the whole House committee provided a leeway for legislators to push through their preferred amendments.

• There were 87 MPs who voted to keep the amendment while 189 MPs voted against it.

MPs during the opening of refurbished Parliamentary chambers
MPs during the opening of refurbished Parliamentary chambers
Image: FILE

A proposal by Seme MP James Nyikal to scrap of five per cent tax on digital content from the Finance Bill has been rejected.

The proposal was defeated when Members of Parliament voted on the amendment during the third reading of the bill on Tuesday.

The sitting of the whole House committee provided a leeway for legislators to push through their preferred amendments.

There were 87 MPs who voted to keep the amendment while 189 MPs voted against it.

Tax on Digital Content Creation was initially proposed in the bill to be 15 per cent but MPs later reviewed it to 5 per cent.

Content creators had condemned the proposed 15 per cent tax and asked that it be retained at 5 per cent.

After the third reading, there will be no other substantive amendments to the Finance Bill, 2023.

Once passed, the Bill will be presented to President William Ruto for assent.

The President may assent to the Bill or refer it back to the House with a memorandum outlining his reservations.

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