National Assembly Majority Leader Kimani Ichung’wah has disclosed that the government reintroduced and passed key provisions of the contentious Finance Bill 2024 through four separate pieces of legislation to ensure efficient public service delivery.
Speaking in Thome, Laikipia East Constituency, on Thursday, October 23, Ichung’wah said the decision followed widespread misinformation that led to the rejection of the original Finance Bill and subsequent nationwide protests in mid-2024.
He explained that President William Ruto’s administration opted to pause the bill to allow tempers to cool before revisiting its beneficial components in December 2024 through the Tax Laws (Amendment) Bill 2024, Business Laws (Amendment) Bill 2024, and Tax Procedures (Amendment) (No. 2) Bill 2024, among others.
“Yale mazuri yaliyokuwa kwa hiyo bill wakati rais hakuitia sahihi yakapotea, na ndo sababu tumechelewa kwa utendakazi kwa barabara nyingi zilikuwa zimekwama,” Ichung’wah said.
“Tukaikata kata hizo bills zikawa nne tukapitisha, ndo maana leo hii barabara zitakuwa advertised for construction.”
The Tax Laws (Amendment) Bill introduced key fiscal changes, including increased allowable pension deductions, exemption of affordable housing contributions, and a 15 per cent global minimum corporate tax on multinational firms. It also reinstated withholding tax measures with clearer remittance structures and tougher penalties, such as a 10 per cent fine for late payments.
The Tax Procedures Act aimed to simplify tax compliance for small businesses and farmers by introducing a reverse ticketing system, allowing purchasers to issue tax invoices. Meanwhile, the Business Laws (Amendment) Bill updated regulations governing Special Economic Zones and the Employment Act.
Ichung’wah emphasized that controversial measures such as the 1.5 per cent Digital Service Tax, eco-levy, motor vehicle tax, and 16 per cent VAT on essentials like bread, cooking oil, and eggs were scrapped from the restructured bills.
He urged Kenyans to verify facts before drawing conclusions, warning that misinformation continues to undermine national unity and progress.
