Finance team bows to pressure on VAT
A report in the National Assembly by committee chairman Benjamin Langat (Ainamoi, URP) says the team will also remove unprocessed milk from the list of exempt goods because its sale is barred by the Dairy Act. The report says the committee generally agreed with a proposal to reduce the number of goods that were zero-rated or were exempt from the more than 700 in the current law. The Finance Committee has bowed to pressure from various sectors and will ask MPs to increase the number of goods that are either zero-rated or exempt from Value Added Tax.
“The committee also agreed on the need for the Government to address revenue leakages by overhauling the VAT system to guarantee increased inflows bearing in mind higher expenditure demands,” the committee said. Debate on the Bill began yesterday at the Second Reading stage, with MPs giving their ideas on the proposed law.... Read the full, comprehensive news article and discuss at The Daily Nation