Di Kenya tax proposals wey cause protests

protester hold Kenyan flag as police use water cannons and tear gas to disperse protesters during a demonstration against Kenya's proposed finance bill 2024/2025 in Nairobi, Kenya, June 25, 2024.

Reuters
Young Kenya pipo na dey dey lead di protests

Di controversial bill, wey bin get some provisions wey pipo see as imposing extra burden on ordinary citizens and businesses, provoke di kontri pipo wey bin already dey suffer high cost of living.

E don cause GenZ dem to lead protests, wey although e dey peaceful so far, don lead to death of at least one pesin and hundreds of injuries plus arrests – all of which lawyers and human rights activists don condemn.

Di goment don drop some of di controversial proposals, but e still no appease di pipo anger.

Many want make dem cancel di whole bill.

For social media, dem bin dey call for protest and demand say make di lawmakers oppose all di tax increase.

Wetin be some of di original plans wey provoke anger?

  • Taxes on basic items

Amendments to di bill dey ready for approval but some of di controversial provisions wey dem bin first propose bin include plan to introduce 16% sales tax on bread and 25% duty on cooking oil.

Dem bin also plan to increase tax on financial transactions plus sama new annual tax on vehicle ownership wey go be 2.5% of di value of di vehicle.

Di goment say e go drop dis measures as di public provoke.

  • Di eco levy

Di eco levy, na money wey goment say di pipo go begin pay as charge on product wey dey contribute to e-waste and harm di environment. Dis too na anoda main provision for di bill wey goment don suggest say make dem amend now.

Critics point out say dis one go make essential tins like sanitary pads more expensive, and say dis dey insensitive, as many girls wey, no fit to afford dis products, dey often miss school during dia periods.

Babies napkins go also dey affected.

Afta pipo begin para, goment say dem go only sama dis levy on imported products, as dem argue say dis go boost di growth of local industries.

Di oda main target of dis eco levy na digital products, including mobile phones, cameras and recording equipment and TV and radio equipment.

Critics dey see di increase for di price of dis products as harmful to di growth of digital economy, wey many Kenya pipo dey depend on to survive.

Which of di measures dem no touch?

  • Tax on specialised hospitals

Di finance bill introduce 16% tax on goods and services for direct and exclusive use for di construction and equipping of specialised hospitals wit minimum bed capacity of 50.

Many Kenyan pipo don dey worry say dis fit mean higher costs to access critical health services for cancer, diabetes, kidney dialysis or oda chronic sickness dem.

Di chairman of di parliamentary finance committee, Kuria Kimani, bin dismiss claim say “di bill introduce taxation on cancer patients” as e call dem for parliament, dem be “falsehoods to emotionalise di public”.

  • Higher import fees

Dis bill propose to increase di rate of import taxes from 2.5% to 3% of di value of di item, wey di importer go pay for di port.

Dis rise dey come just one day afta dem bin reduce di rate from 3.5% to 2.5%.

Di change dey expected to generate more money for goment but also fit lead to higher prices for imported products.

A protester holds up a sign during a demonstration against the proposed government tax bill in the Central Business District of Nairobi, Kenya, on Tuesday, June 25, 2024

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Protesters argue say Kenya pipo dey overtaxed, but di president no agree

Wetin be goment response?

In addition to removing some of di most controversial measures, President William Ruto don accept di protests and promise say im go do tok tok to address di concerns of di youth wey dey for front protests.

But dat one no do anytin to calm tensions.

Why dem no rate am as good enough?

Even though dem don cut cut some of di proposed measures, odas remain – including di higher import tax and increase for road maintenance levy wey dem dey charge on fuel.

But dis na also about di anger wey di pipo don dey hold for belle for long period.

Some tired Kenyans, wey feel say dem dey overtaxed, no tink say di goment dey take dia concern into consideration.

Ruto bin argue say compare to some oda African kontris Kenya get relatively low tax rate – but dis no convince many.

Everyday discussion dem, wey bin be mostly about di pain of taxation, don reach climax now.

Dis year finance bill no be di first unpopular bill under Ruto.

Last year equivalent, wey cause protests, introduce some unpopular taxes wey dis current plan add to, making di pain worse.

Angry protesters prefer make goment reduce im spending, just as many Kenyan pipo gatz to sake of di lean economic times, and address wastage and corruption.

Di goment bin don tok before say e dey purse reducing im spending, but e never fit conceive many e dey do enough.

Wetin go happun next?

On Tuesday, lawmakers consider and vote for goment amendments to parts of di draft law, wey parliament approve last week.

Di governing coalition don get enough numbers for parliament to allow di amended bill to pass through.

Afta e don pass, di president go gatz sign am into law within 14 days or send am back to parliament wit proposal for further amendments.

Though dis dey unlikely, goment fit also go for oda measures as e try to reduce pressure, including shifting di bill till later.

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