The chairperson of the Budget Committee in the National Assembly Ndindi Nyoro has called upon the Kenya Revenue Authority (KRA) to stop imposing additional taxes on Kenyans without carrying out public participation.
Speaking on March 24, the Kiharu Member of Parliament told the taxman to consult businesspeople and stakeholders before making changes to the taxation system.
“I respectfully ask KRA to note it is important to do public participation before they make changes especially on duties like the one, we saw recently. Call all the stakeholders together and talk to them,” Nyoro said.
Nyoro singled out the addition of duties from the current Ksh2.5 million to Ksh3 million stating that it would negatively affect business who imported goods before the shilling started gaining against the dollar.
He explained that the businesses would make losses or be forced to pass the additional costs to the already overburdened Kenyans.
“I am asking the head of domestic taxes please this temporarily stopped this issue of adding duty from Ksh2.5 million to Ksh3 million,” he said.
“Call the businesspeople and talk to them because some imported goods when the dollar exchange rate was high, and they are suffering. If you add the duty, they will either incur losses or pass over that cost to the consumers.”
According to Nyoro, all government agencies including KRA should support businesses in line with the Kenya Kwanza manifesto.
“We are a government who supports businesses across the country. All the government agencies, our work is to incentivize businesses and enterprises in Kenya,” Nyoro explained.
He added that the government must also support the transport sector including the public service vehicles (PSVs).
Nyoro maintained that the government will support businesses to ensure they conduct their operations smoothly and without.
“Everywhere a Kenyan businessperson is, our work as government is to protect them so that they make profit and enlarge their territories because they are the ones supporting the economy,” he stated.
Besides, the MP asked the Anti-Counterfeit Authority (ACA) to educated businesspeople on the meaning of the word “counterfeit” to eases their operations.
He said ACA should also support businesses in production and allow for emulation to help grow the economy.
“To ACA, many economies in the world grow through emulation. Emulation is borrowing technology and adopting it,” Nyoro explained.
“Number one, ACA needs to define to the businesses what “counterfeit” is so that they know what it means. Number two they should support these businesspeople in matters of production.”
Nyoro also asked KRA to hold a meeting with importers and release all the containers held at the Port of Mombasa.
He asked the Authority to act with speed, adding that the government is keen to promote business operations in the country.