Manufacturers petitions National Treasury over pesticides tax

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This means that manufacturers will have to factor in a 16 per cent consumption tax on pest control products. Applied retroactively However, KAM insisted that not only will the new tax affect the cost of food in the country, but it also complicates issues that need to be addressed before it is rolled out. The lobby said it was afraid that the law would be applied retroactively as President Uhuru Kenyatta only assented to it on July 18, more than two weeks after the effective date of July 1. “The Tax law (Amendment) Act, 2018 provides for an effective date of July 1, 2018 on all provisions relating to the valued added tax. The time period, therefore, affects agricultural pest control products which are deleted as item 17 under the second schedule of the Valued Added Tax Act,” said KAM in the letter to Mr Rotich. KAM added that it was not until August 1 that most pesticide manufacturers were able to see the law.SEE ALSO :NYS to lease Galana Kulalu land in bid to revive irrigation project