The Kenya Revenue Authority (KRA) has been summoned by the National Assembly's Finance and Planning Committee after online outrage over its latest move to impose tax measures on personal or home products carried.
The committee was alarmed by social media allegations about the harassment of tourists by KRA officials who seek tax from anyone bringing in things worth USD 500 (Ksh.75,425) or more.
While admitting that the KRA was within its rights under the East African Community Customs Management Act 2010, the committee Chairman stated that the law needed to be reviewed.
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Kuria stated that the East African Community Customs Management Act 2010 will be reviewed with the goal of revising the contentious ideas to make them more welcoming.
“We have conducted numerous capacity-building programs and also engaged our Customs Officers at the airport by organizing them into various shifts with a clear process for carrying out their duties”~ Sally Sally Serem, Chief Manager Passengers Clearance-JKIA pic.twitter.com/6Xr92brE4m
— KRA Care (@KRACare) November 1, 2023
Kuria claims the law applies to all East African Community countries, but only Kenya is enforcing its proposals. The committee expressed concern that this would make Kenya less appealing to tourists and investors.
"There is a need to review the regulations to ensure that they are consistent with our neighbors so that we do not lose competitiveness." Mombasa competes with Zanzibar, Maasai Mara with the Serengeti...it is critical that regulation does not cause us to lose ground," he added.
The KRA's social media post sparked outrage, prompting the authority to remove it. The committee will also look at other tax-related issues raised by Kenyans.
The Chair spoke during a committee hearing in which State Department for Planning Principal Secretary James Muhatia justified their refusal to have their budget cut, claiming that it would jeopardize national building ambitions.
The committee is also worried that several State agencies and departments are not working optimally. They have indicated that they would conduct an audit to guarantee that taxpayers' money is not being wasted.
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