Relief for Kenyans as amended VAT Bill is passed

By Alphonce Shiundu

Members of the National Assembly last evening put aside their political differences and passed the Value Added Tax Bill 2013, giving tax exemptions on food and drugs.

Although the MPs were initially at loggerheads, attempts to scuttle the debate were thwarted by Rachel Shebesh, who presided over the debate on the amendment.

Good news

The move comes as good news to the country’s poor who were up in arms over proposals to impose VAT on essential products such as bread, rice, maize flour and milk.

Chairman of the Finance Committee Benjamin Langat (Ainamoi)  proposed the changes to the Bill, exempting bread, rice, milk, wheat, milk formula for infants, maize flour, First Aid kits, vaccines, bandages and sanitary towels from the tax.

“We are bringing these amendments to cushion Kenyans from the grievous harm that these taxes would have had,” said Langat.

MPs, led by the Leader of Majority Aden Duale, welcomed the amendments.

“We needed an effective and efficient VAT Bill while at the same, cushioning our poor from the cost of living .... The Unga Revolution has been crippled,” said Duale, alluding to the civil society uprising around the VAT Bill proposals to tax foods.

Members of the Finance Committee dismissed Duale when he tried to credit the Jubilee government for the changes, saying it was common sense that essential commodities should not be taxed.

“If we had passed this Bill the way it came to this House, many Kenyans would have suffered,” said James Nyikal (Seme).

Sanitary towels

Women MPs in the house, such as Gladys Wanga (Homa Bay) and Priscilla Nyokabi (Nyeri), said the exemption of sanitary towels from VAT was a win for all Kenyan women.

“When you don’t have sanitary pads, you cannot even eat the food because these sanitary pads are our lives,” said Florence Kajuju (Meru).

A push by Kinoti Gatobu (Buuri) to exempt text books, exercise books and chalk from VAT received a hostile reception in the House.

The MPs said books should not be exempted because publishers are unlikely to pass the benefits to parents or school-going children.