Business people stealing from Kenyans using VAT State House Spokesman

Commodities prices hiked       Photo: Standard

By Standard Digital Reporter

The recent rise in the prices of various commodities in Kenya as a result of the coming into effect of the Value Added Tax (VAT) should not happen.

According to the  Secretary of Communication and State House Spokesperson Mr. Manoah Esipisu business people who have raised prices have “infact been stealing from ordinary citizens”. Speaking at a press briefing from State House Nairobi on Thursday, Mr. Esipisu clarified that all unprocessed food stuff are tax exempt.

According to the spokesperson, the prices of some processed food should also not have been hiked.

“Processed food including maize floor, wheat floor, bread, rice, infant food preparations including milk, medicines, pharmaceuticals, sanitary pads,fertilizers and some seeds are exempted from VAT”, said Mr. Esipisu adding that he expected traders to end that “stealing,”  he clarified.

Other than the traders adjusting their prices,  electricity supplier Kenya Power has also raised VAT charged on all consumptions backdated to September 2.

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At the same time Mr. Esipisu has disclosed that a new committee that will oversee the Kenya at 50 celebrations has been formed. The committee which is chaired by Sports, Culture and Arts Cabinet Secretary Hassan Wario has been directed to work with a budget of sh500 million a fifth of the sh2.5 billion that had been budgeted for by a previous committee disbanded by President Kenyatta.