• Some of the new propositions include the introduction of an Eco Tax on goods deemed to negatively affect the environment, a motor vehicle tax payable annually and calculated according to a vehicle’s value, increments in Excise duty rates on certain goods and services, and revisions to zero-rated products.
 The proposed 2024 Finance Bill has left a trail of mixed feelings in its wake, with some Kenyans on X questioning whether the common Mwananchi has a place left to call home.

The proposed bill was released for public circulation by the National Treasury on May 9, 2024, and is subject to public interpretation before it is presented to the National Assembly. The bill proposes several amendments to taxation, legislation, and definition of terms.

Some of the new propositions include the introduction of an Eco Tax on goods deemed to negatively affect the environment, a motor vehicle tax payable annually and calculated according to a vehicle’s value, increments in Excise duty rates on certain goods and services, and revisions to zero-rated products.

Proposed zero-rated supplies now include electric buses and electrically propelled motorcycles. Gasoline-powered motorcycles will attract an excise duty of KSH 12,952.83 per unit, with the exception of motorcycle ambulances and those assembled locally. Other supplies, such as sugar confectionery (chewing gum), whether or not sugarcoated, will attract an excise duty of KSH 42.91 per Kilogram.

Even with the push to adopt electrically propelled modes of transport, the rush to impose additional taxes on gasoline powered motorcycles which make up about 99% of the total number, begs the question: is it about control?

Though majority of products and services might end up on the losing end if the bill passes, tourism moguls, owners of small aircrafts, sugarcane transporters and producers of pest control raw materials have a reason to smile as the bill proposes zero rating on supplies and inputs.

Amid the uproar of the proposed tax amendments, different leaders have called out the government’s taxing rate, pointing out that it has become too much.

Speaking on May 12, 2024, Machakos Governor Wavinya Ndeti called out the paternalistic nature of tax imposition by the National Government. In different events, Nairobi Senator Edwin Sifuna also called out the proposed Finance Bill, pointing out that it is significantly worse than the last one.

Coming from a regime that swore to sticking by the common man, the question remains : Are we building or breaking the backbone of this nation?