Real estate dealers are also set to feel the heat from the capital gains tax on property transactions.

Mr Njiraini said the tax, which was suspended in 1985, will be re-introduced after consultation with experts and other stakeholders.

The KRA boss hinted that the capital gains levy will, however, mainly target property transactions, calming fears that it would hit the capital market.

“The property market is a key target. That is where a lot of investment is going and the wealthy are making profit that is not taxed,” said Mr Njiraini.

Mr Njiraini said taxation should focus on sectors where spending and investments are going, such as the real estate market.

“It is not fair to leave it (property market) out of capital gains tax because the investors there are wealthy and enjoying high returns.”

http://www.businessdaily...-/132oae5z/-/index.html

interesting take on capital gains tax and inequality

RINK

AMEN. The savers invest. The spenders borrow.