Treasury Invites New Tax Proposals for Finance Bill 2024
The government, through the National Treasury, has invited Kenyans to share their views on how taxes should be increased in the 2024/2025 financial year.
Treasury Cabinet Secretary Njuguna Ndung’u, in a notice released on Wednesday, stated that public participation was in readiness for the drafting of the Finance Bill 2023.
According to the CS, including Kenyans in the process ensures openness and accountability in financial matters, as outlined by the Constitution.
“The National Treasury and Economic Planning hereby invites Government Departments and Agencies, the private sector, non-governmental organizations, and individuals to submit proposals on tax policy measures for consideration,” the notice read in part.
While submitting their proposals, Kenyans were asked to align with President William Ruto’s economic recovery strategy and the country’s economic blueprint, Vision 2030.
Part of Ruto’s recovery strategy is to increase the amount of taxes collected to prevent overreliance on domestic and foreign loans.
“In particular, Kenyans are encouraged to submit tax proposals that will enhance revenue collection,” the Treasury explained why taxation would increase in the 2024/25 financial year.
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The increased amounts collected through taxation will facilitate the implementation of the government development agenda and the Bottom-up Economic Transformation Agenda (BETA).
Nonetheless, participants should be specific about the tax legislation and sections that need to be amended.
Additionally, they should clarify the objective to be achieved by the proposed amendment and reinforce it with a statement on the policy issue to be addressed and a clear justification for the proposed change.
All proposals should be submitted through budgetproposals@treasury.go.ke, not later than November 10, 2023.
The drafting of the Finance Bill 2024 comes when most Kenyans have decried the increased taxation necessitated by the Finance Act 2023. Among them was the doubling of the Value Added Tax on fuel from 8 to 16 percent and 35 percent tax rate for income above Ksh500,000 per month.
Efforts to bar the government from implementing the new tax policies were thwarted by the Supreme Court when it dismissed a petition filed by Busia Senator Okiya Omtatah on September 8.
Omtatah moved to the apex court after the Court of Appeal lifted conservatory orders issued by High Court Judge Mugure Thande on June 30.
Treasury Invites New Tax Proposals for Finance Bill 2024
