Ruto Faces uphill task on Finance BIll 2023

The Proposed tax measures by the Kenya Kwanza regime tailored towards raising the revenue to finance its budget continues to draw sharp reactions from across the political divide.

During the launch of Defence CS aden Duale”s book “on the record on thusrday night, THE National Assembly Majority Whip Sylvanus Osoro assured President William Ruto that Kenya Kwanza Alliance lawmakers will unanimously support the Finance Bill 2023.

Teachers attached to the Kenya Union of Post Primary Education Teachers (KUPPET) on Friday, May 12 opposed the housing fund introduced by President William Ruto.While addressing the press, the union argued that a number of its members already owned houses demanding that they should be exempted from the three per cent deduction.

“We reject the three per cent levy because our teachers have already constructed houses in their rural homes. While those who have not constructed houses have already taken up loans for the same,” Jacob Karura, the head of the KUPPET Embu branch, told the press.

“A decent affordable house for a teacher costs about Ksh1.2 million. If you do the math, you get that a teacher will pay for that house for approximately 66 years. As teachers, we have our own plans,” another member argued.

Additionally, the union opined that teachers had their tastes and ideas of where they wanted to retire, replete with the design of the houses they wanted.Some of the members further argued it was unreasonable to ask them to leave their rural houses where they rear livestock to live in a highrise apartment with their goats, chickens, and cows.

As a result, they issued a 14 days ultimatum to the Teachers Service Commission (TSC) to intervene and ensure teachers are exempted from taxation failure to which, the union threatened to strike

IN ADDITION, nATIONAL COUNCIL of churches in kenya have added their voice to the call for reduction of high taxation proposed in the finance bill 2023.

The same sentiments were echoed by workers union.

The proposed finance bill 2023 has continued to face objection from different quarters. Council of Governors chair for Finance, Planning and Economic Affairs Fernandes Barasa has called on parliament to reject it saying if it goes through it will oppress Kenyans

One of the controversial items in the proposed bill is increasing the tax on fuel from 8 per cent to 16 per cent.

Additionally, the bill proposes a 3 per cent deduction of basic salaries to go towards the National Housing Development Fund. Employers will have to match their employees’ deduction with another 3 per cent.

Furthermore, it proposes a 5 per cent excise tax on more products than previous budgets. Additional items set to be taxed included fake beards, eyebrows, eyelashes, and wigs.

The controversial proposals which seeks to upsurge taxes has already set a stage for a heated debate with azimio Coalition bracing for a fight azimio leader raila odinga vowing that his Coalition will shoot down the proposals

Odinga accused the Kenya Kwanza government of unfairly targeting Kenyans already choking under the ever rising cost of living

The azimio leader saying the government shouldn’t punish already heavily taxed population but should instead reduce the size of government by fast stopping the appointment of chief administrative secretaries, Institute austerity measures such as limiting International and domestic travel fight corruption and minimize wastage

azimir team also rejected the proposal to increase income tax from 30 to 35 percent. Odinga highlighted Turnover Tax, Income tax adjustment, Housing Fund, digital economy taxes, Tax appeal tribunals, taxation of reimbursement, taxasion of trade associations, increased VAT payments, excise duty on imported cement and tax on beauty products among proposals Azimio lawmakers will reject.

by easing the coast burden odinga wondered why the government’s actions were negating the pledges

already Parliament has called on Kenyans to submit their views on the finance bill 2023 to the departmental committee on finance and National Planning by 20th may as a review of the proposal’s commences with concerns arrives at the proposed higher taxes will be passed on to the consumer at a time when the cost of leaving is at an all-time high Kenyans will be waiting
to see which members of the National Assembly will start to be counted and whether they will yield to pressure to shut down the proposals are going

The Azimio La Umoja Coalition leader Raila Odinga has described plans by the Kenya Kwanza government to raise taxes as punishment to Kenyans.

Speaking in Nairobi on Monday, Odinga argued that despite Ruto’s promise to lessen the burden of low income earners, he has made the situation worse.

“The Bill is a promissory note to strangle and suffocate the hustlers from whose necks Ruto promised to remove the rope,’’ he said.

Additionally, he said Azimio lawmakers will not spare efforts to ensure President William Ruto’s tax proposals under the Finance Bill 2023 which he labelled as “anti-people” do not sail through in the National Assembly.

“We want the people of Kenya to understand that it is Kenya Kwanza’s Bill, it is Kenya Kwanza’s budget, it will be Kenya Kwanza strangling Kenyans, we will instruct our MPs to have nothing to do with it,” he stated.

Odinga called for the immediate suspension of non-essential government expenditure.

He singled out appointments of Chief Administrative Secretaries, continued hiring in public service and expenditure on “political operations” disguised as relief food distribution or fundraisers among wasteful initiatives.

“Kenyans cannot be taxed to the bone just because of Kenya Kwanza’s internal weaknesses,” Odinga added.

Odinga highlighted Turnover Tax, Income tax adjustment, Housing Fund, digital economy taxes, Tax appeal tribunals, taxation of reimbursement, taxasion of trade associations, increased VAT payments, excise duty on imported cement and tax on beauty products among proposals Azimio lawmakers will reject.