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VAT Bill - 2013
Rank: Elder Joined: 12/9/2009 Posts: 6,592 Location: Nairobi
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Gosh! I didn't realise till now just how damaging this VAT is. Even cooking gas and fuel is now subject o 16%! Sis kwisha! And with the new bank charges that spell, Halooo mattress... (thank you scom for reminding us to go back to the basics of savings) BBI will solve it :)
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Rank: Elder Joined: 2/16/2007 Posts: 2,114
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From tomorrow newspapers will cost 60 bob.. Maybe this gaarment should also slap VAT on piped water..
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Rank: Elder Joined: 6/20/2012 Posts: 3,855 Location: Othumo
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Kujenga taifa Thieves
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Rank: Elder Joined: 3/18/2011 Posts: 12,069 Location: Kianjokoma
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Kulipa ushuru ni kujitegemea. With the bigger govt structure, what did we expect?
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Rank: Member Joined: 8/16/2012 Posts: 660
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{Wazua} Traders count losses from taxman’s new VAT ambush
Live and learn; and don’t forget, nothing ventured, nothing gained.
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Rank: New-farer Joined: 6/10/2013 Posts: 52
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Government is desperate for money and should be taxing the super rich wananchi, instead of taxing wanjikus to the bone...
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Rank: Elder Joined: 2/26/2012 Posts: 15,980
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Mtazoea vumilieni tu "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore .
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Rank: Veteran Joined: 1/4/2010 Posts: 1,668 Location: nairobi
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smitha wrote:Government is desperate for money and should be taxing the super rich wananchi, instead of taxing wanjikus to the bone... True. Govt is scared of taxing the rich and large corporate international corporations in Kenya.The weakest point is usually the majority middle/low class citizens. As Iron Sharpens Iron, So one Man Sharpens Another.
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Rank: Member Joined: 7/6/2010 Posts: 242
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And yet salary will remain the same, I see people will have to make hard choices in months to come. Not to mention , price of fuel is expected to go up as a result crude oil prices moving upwards.
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Rank: Elder Joined: 6/2/2011 Posts: 4,818 Location: -1.2107, 36.8831
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smitha wrote:Government is desperate for money and should be taxing the super rich wananchi, instead of taxing wanjikus to the bone... Its not that am an elite but this country belongs to all of us. So, if only one group of citizens are made to build the nation more than the other, will 'all Kenyans are equal' be applicable as in the constitution? But this VAT should have exempted most basic need like some specified food stuff, electricity, cooking gas, etc. for all kenyans! Receive with simplicity everything that happens to you.” ― Rashi
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Rank: Member Joined: 8/29/2008 Posts: 571
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I kind of disagree.The govt should tax the poor and the middle clases more so as to make them work hard,become rich,then enjoy the lower rates of taxation.This is the Same message Robert Kiyosaki has been preaching: tax laws are made to discourage people from living in poverty.
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Rank: Member Joined: 4/2/2011 Posts: 629 Location: Nai
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Ali Baba wrote:I kind of disagree.The govt should tax the poor and the middle clases more so as to make them work hard,become rich,then enjoy the lower rates of taxation.This is the Same message Robert Kiyosaki has been preaching: tax laws are made to discourage people from living in poverty. In practice taxation discourages work. Secondly, poor people are not necessarily lazy. If you doubt it, just ask yourself why accidents have increased after traffic offence related fines (a form of taxation) were increased. Increasing or introducing new taxes in may cases just creates rent seekers - KRA staff and cops. And why should the rich pay more in taxes? Because they enjoy more benefits from public goods and services. Whether it is security, good roads, oxygen (leafy neighbourhoods) etc, the rich enjoy more of it. You hypothesise that poor people dont work hard. Join a gang of factory workers as they march to industrial are every morning and come back and tell me that drivel. Poverty in many cases is a function of lack of opportunity. That is why I believe in paying school fees for my watchman's son and other kids from disadvantaged backgrounds. When thieves come to my house, the watchman puts his life on the line for mine and that of my family. It would very hyprocitical of me to claim that the man doesnt work hard just because such incidences do not happen every day.
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Rank: Member Joined: 4/2/2011 Posts: 629 Location: Nai
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And please people spare us Kiyosaki's thoughts. The man is very often quoted out of context. Please look to the Bible, Talmud or the Koran . Rich dad poor dad is lame as a source of wisdom.
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Rank: Elder Joined: 3/18/2011 Posts: 12,069 Location: Kianjokoma
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Ali Baba wrote:I kind of disagree.The govt should tax the poor and the middle clases more so as to make them work hard,become rich,then enjoy the lower rates of taxation.This is the Same message Robert Kiyosaki has been preaching: tax laws are made to discourage people from living in poverty. The way Kiyosaki's name crops up here makes me dislike him with his American economy ideas. This is Kenya. Jubilee govt promised easier life for us before they got to power. Taxing milk and books doesnt make it any better for the lower class. Some items are consumed across all classes. It would be fair if foodstuff, fuel books rmained untaxed. But how will treasury fund the cost of the new constitution? All these projects? There was bound to be more taxes. We were forewarned in 2010
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Rank: Member Joined: 4/2/2011 Posts: 629 Location: Nai
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The VAT increase is especially maddening when you consider the following;
1) MNCs are stripping the country off its assets and income through transfer pricing and management fees. All major MNCs operating in Kenya do it. The charges are at best dubious and in many cases outrightly fraudulent
2) The gold export scams believed to have cost the country Sh 30 billion -- and this happening after goldenberg
3) The inflated prices at which the government procures everything from biros to newspapers
4) 100 scumbags planning to go for a joy ride to the Hague on tax payers expense.
5) The tax breaks enjoyed by flower exporters and some companies in the EPZ. Companies that subsequently repatriate all their profits.
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Rank: Member Joined: 3/20/2009 Posts: 348
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Lolest! wrote:Kulipa ushuru ni kujitegemea. With the bigger govt structure, what did we expect? To sustain big govt the citizens must pay more taxes.The more money the different levels of govt ask for the more taxes citizens will have to pay.
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Rank: Elder Joined: 9/25/2009 Posts: 4,534 Location: Windhoek/Nairobbery
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They should introduce a Ksh2000 note then..heck Ksh1000 is nothing this days...
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Rank: Elder Joined: 5/21/2013 Posts: 2,841 Location: Here
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the deal wrote:They should introduce a Ksh2000 note then..heck Ksh1000 is nothing this days... The most practical would be to re-denominate the currency by knocking off the zero in 1000 so that it becomes 100. Life is like playing a violin solo in public and learning the instrument as one goes on.
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Rank: Elder Joined: 9/25/2009 Posts: 4,534 Location: Windhoek/Nairobbery
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Rankaz13 wrote:the deal wrote:They should introduce a Ksh2000 note then..heck Ksh1000 is nothing this days... The most practical would be to re-denominate the currency by knocking off the zero in 1000 so that it becomes 100. Wewe its called rebasing...there is no need to rebase or revalue an already overvalued currency....it will kill Kenya's exports...rebasing...or revaluation should only be done in a hyperinflation environment ..we dont have that yet....lets say we knock...one zero....$1=Ksh8.7....see how Kenyan goods become expensive....imports will shoot...sinking local manufacturers...
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Rank: Member Joined: 4/24/2012 Posts: 331 Location: Vantage point
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accelriskconsult wrote: In practice taxation discourages work. Secondly, poor people are not necessarily lazy.
If you doubt it, just ask yourself why accidents have increased after traffic offence related fines (a form of taxation) were increased. Increasing or introducing new taxes in may cases just creates rent seekers - KRA staff and cops.
And why should the rich pay more in taxes? Because they enjoy more benefits from public goods and services. Whether it is security, good roads, oxygen (leafy neighbourhoods) etc, the rich enjoy more of it.
You hypothesise that poor people dont work hard. Join a gang of factory workers as they march to industrial are every morning and come back and tell me that drivel.
Poverty in many cases is a function of lack of opportunity. That is why I believe in paying school fees for my watchman's son and other kids from disadvantaged backgrounds. When thieves come to my house, the watchman puts his life on the line for mine and that of my family. It would very hyprocitical of me to claim that the man doesnt work hard just because such incidences do not happen every day.
Very well said, it is very great to hear someone living by example. It is easier for one to identify with a problem that is right before you than to look over seated on a high place assuming you have all the corners covered... kudos. I like that. Ali Baba wrote:I kind of disagree.The govt should tax the poor and the middle clases more so as to make them work hard,become rich,then enjoy the lower rates of taxation.This is the Same message Robert Kiyosaki has been preaching: tax laws are made to discourage people from living in poverty. Have you ever looked at the taxation table and tried to understand why the government has different taxing strategies. From your comment taking it that you have never thought of it, the highly taxed services/goods are solely to discourage people from taking to them. So with your reasoning, you sound very naive of your countries revenue management. Your reasoning will actually entrench poverty further into the society if you don't create opportunities to alleviate the extra burden.
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VAT Bill - 2013
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