As I stated earlier in my weekly briefing today, President Uhuru Kenyatta has in the past few days signed into law a number of Bills including the Finance Bill 2016, which has measures that bring tax relief for low-income earners as well as taxation measures in respect of gaming, betting and competition.
Key amendments in the Finance Act, 2016 are: 1. Removal of excise duty on locally assembled motor vehicles and motor cycles to promote assembly; 2. Tax Amnesty for taxpayers who have investments outside Kenya to reinvest back home; 3. VAT exemption for park entry fees and tour operator services to promote tourism; 4. VAT Exemption for inputs for manufacture of animal feeds to reduce the cost of the feeds; 5. Reduction of income tax corporate tax rate from 30% to 15% for investors who put up 400 and above residential housing units to promote housing development. Other Amendments include: 6. Legal framework for the establishment of the Commodity Exchange Market; 7. The expansion of the income tax brackets by 10%; and 8. zero rating of LPG (gas) to reduce cost of living. Manoah Esipisu, MBS State House Spokesperson 18th September, 2016