Sign of relief as Ruto agrees to lower housing levy among other amendments in the finance bill
3 min read
President to lower housing levy from 3% To 1.5% and adopt other amendments in the finance bill 2023 following public outry
President to lower housing levy from 3% To 1.5% and adopt other amendments in the finance bill 2023 following public outry.
Gatanga Member of Parliament Edward Muriu has revealed that President William Ruto had agreed to back down and reduce the disputed housing levy from 3% to 1.5%.
The lawmaker, who is also the United Democratic Alliance’s (UDA) secretary of legal affairs, claimed in a tweet on Monday that the president had listened to Kenyans.
“Thanks, H.E for listening to Kenyans on the tax bill proposal with levy coming down from 3% to 1.5%, Kenyans are happy,” the MP posted on Twitter complete with a photo of himself, Ruto and other top government officials.
“The next battlefront is KPLC power bills. They have doubled confront the power Purchase Agreements head on,”
His post was endorsed by Dennis Itumbi, the Chief Administrative Secretary (CAS) Communications, Telkom & Digital Economy who retweeted it saying “Feedback counts, President Ruto listens.”
The revelation comes just a day after the Finance and Planning Committee of the National Assembly made additional recommendations to a number of contentious clauses in the Finance Bill 2023, ahead of its tabling in Parliament on Tuesday.
Top on the recommendation list was the proposal to lower the 3% Housing Levy to 1.5 % which would only be deducted from employees.
Parliament orders probe on Kenya’s trade attaches abroad over incompetency
Stop going to Mt Kenya, Gachagua tells Wajackoyah over fight against drug abuse
Kenya responds after Romania recalls ambassador Dragos Tigau over monkey slur
World Bank loan boosts Central bank forex reserves to safety
Raila accuses Ruto of duping Musalia Mudavadi and Moses Wetang’ula
In the Finance Bill 2023, the Treasury had proposed that every employee be deducted 3 per cent of their salary remitted to the Housing Fund with the employer matching the amount.
The committee also suggested delaying its implementation until January 2024 in order to set up a solid legal foundation before it is implemented.
The Levy was the main talking point in the Finance Bill 2023 public participation hearing.
Chairperson of the committee and Molo MP Kuria Kimani on Sunday said they are also recommending that the 15% VAT on Digital Content Creation be reduced to 5.
The Committee has also recommended tax waivers on Agricultural inputs, vaccines and electric cars.
While the committee offered a reprieve in relation to the housing levy, it maintained the proposed 16 per cent Value Added Tax (VAT) on fuel.
With the Finance Bill 2023 set for Tabling in parliament on Tuesday, the second reading of the bill on the floor of the house is expected on Wednesday after the approval of the House Business Committee.
Also read,
Gachagua responds on being snubbed on international trips for Mudavadi
IG Koome withdrawals security attached to NPSC officials as row escalates
More drama as IG Koome vows to sanction police officers who will take up NPSC positions
Global shoe company Bata responds to responds on shutting operations in Kenya
Follow us
