The Kenya Finance Bill 2024 was a piece of legislation that proposed changes to the tax system of Kenya.[1] It was first introduced in May 2024 and has been controversial,[2] with some provisions facing public outcry.[3][4][5][6] The proposal has sparked the Kenya Finance Bill protests and public opposition.[7][8] On 25 June 2024, Parliament approved the bill despite the protests, meanwhile president William Ruto declined to sign the bill into law the following day.[9][10][11]
Aim
editThe proposed bill aims to raise 346 billion Kenyan shillings (KES) to pay off debt and fund development projects.[12][13]
Controversial sections of the Bill
editThis section needs additional citations for verification. (June 2024) |
Some of the arguments against the proposed finance bill include:
- The State Department of Gender and Affirmative action under the umbrella of the Ministry of Gender, Culture, Arts and Heritage estimates that girls from poor households lose up to 20% of school days in an academic year, equivalent to 6 weeks of learning due to lack of sanitary towels.[14]
- The bill would allow the national tax arm, the Kenya Revenue Authority, to access mobile and other financial accounts of citizens without a court order; critics have viewed this as unconstitutional and a violation of privacy rights, and it could potentially affect banking penetration in the country.
First reading
editThe Finance Bill 2024 was introduced in May and had its first reading in Parliament on 13 May 2024.[15]
Amendments
editAmidst protests, the Kenyan government scrapped parts of the bill on 18 June 2024, to satisfy the angry youths. According to Kuria Kimani, chairman of Kenya’s Finance and National Planning Committee, the proposed tax increases that were scrapped included a 16% value-added tax (VAT) on bread, as well as taxes on motor vehicles, vegetable oil, and mobile money transfers.[16]
Second reading
editThe second reading of the Finance Bill took place on 20 June 2024, where members of parliament voted on the general outline of the proposed law. The bill sailed through the second reading with 204 members voting for the bill, while 115 opposed it. No members abstained from the vote.[17]
Third reading
editOn 24 June, lawmakers met at the Parliament of Kenya and Parliament approved the finance bill despite the protests. It was thus set to be presented on 27 June to president William Ruto for his signature to become law.[18]
Current status
editOn 26 June, Ruto announced that he would be withdrawing the bill, acknowledging that the Kenyan people "want nothing" to do with it.[19]
References
edit- ^ "Kenya Gazzette Supplement" (PDF). Archived from the original (PDF) on 23 June 2024. Retrieved 26 June 2024.
- ^ AriseNews (2024-06-21). "Kenya's Parliament Approves Controversial Finance Bill Despite Public Outcry". Arise News. Retrieved 2024-06-22.
- ^ "Kenya Finance Bill 2024 passes second reading amid public outcry". 2024-06-21. Retrieved 2024-06-22.
- ^ "Finance Bill 2024: Kenyans protest ova bread tax, odas make goment do U-Turn". BBC News Pidgin. 2024-06-18. Retrieved 2024-06-22.
- ^ Ndege, Adonijah (2024-06-20). "BREAKING: Kenya's Finance Bill passes second reading despite protests". TechCabal. Retrieved 2024-06-22.
- ^ "Kenya finance bill 2024: Bread and other tax proposals axed amid public outcry". www.bbc.com. Retrieved 2024-06-22.
- ^ "Protests in Kenya: Gen Z takes to the streets – DW – 06/20/2024". dw.com. Retrieved 2024-06-22.
- ^ "Thousands of Kenyans demonstrate against proposed tax increases". Voice of America. 2024-06-20. Retrieved 2024-06-22.
- ^ "Several killed as Kenyan police open fire on anti-tax bill protesters". Al Jazeera. Retrieved 2024-06-25.
- ^ "200 Injured, 100 Arrested As Kenya Tax Protests Turn Violent". NDTV.com. Retrieved 2024-06-23.
- ^ Holland, Hereward (26 June 2024). "Kenya's Ruto rejects tax bill, returns it to parliament, local media reports". Reuters. Retrieved 26 June 2024.
- ^ "Thousands of Kenyans demonstrate against proposed tax increases". Voice of America. 2024-06-20. Retrieved 2024-06-23.
- ^ "More than 200 arrested in Kenya protests over proposed tax hikes in finance bill". Voice of America. 2024-06-18. Retrieved 2024-06-23.
- ^ Ministry of Gender, Culture, The Arts and Heritage (2023). "Sanitary Towels Program".
{{cite web}}: CS1 maint: multiple names: authors list (link) - ^ "Kenya parliament advances Finance Bill 2024 amid protests". techpoint.africa. Retrieved 2024-06-22.
- ^ Madowo, Caitlin Danaher, Larry (2024-06-18). "Kenyan government scraps elements of controversial tax bill amid protests". CNN. Retrieved 2024-06-26.
{{cite web}}: CS1 maint: multiple names: authors list (link) - ^ Misiko, Harry (2024-06-20). "204 MPs approve Finance Bill in Second Reading, 115 reject". NTV Kenya. Retrieved 2024-06-22.
- ^ week, Stay up to date on the editors' picks of the (2024-06-26). "What next after MPs passed the Finance Bill 2024?". Business Daily. Retrieved 2024-06-26.
{{cite web}}:|first=has generic name (help) - ^ "Kenya's president withdraws tax plan after deadly protest". BBC News. 26 June 2024. Retrieved 26 June 2024.
External links
edit- The Finance Bill, 2024, Parliament of Kenya (version of 9 May 2024)