Members of National Assembly yesterday Tuesday, June 22, rejected the new taxes by treasury CS, Ukur Yatani saying that the taxes would more burden to the already struggling Kenyans.
The MPs rejected the draft amendments 2021 Financial Bill which planned to raise the VAT.
The legislators also rejected the proposed Value Added Taxes on bread, flour and a 15 percent tax on purchase of motorbikes.
The Chairperson National Assembly, Finance Committee, Gladys Wanga said that bread is a basic commodity that should not be taxed.
“As much as we want to raise funds to finance our budget, we should be livid about the fact that Kenyans are already struggling,” Wanga stated.
Additionally, the MPs also rejected the Digital Service Tax (DST) imposed on digital service providers of 1.5 percent of the gross transactional value.
They also proposed a reduction of the excisee duty on betting firms from 20 to 7.5 percent.