Azimio la Umoja One-Kenya Alliance urged MPs to vote against finance bill

By Anne Nyambura

The Azimio La Umoja One Kenya Coalition Party convened to discuss the Budget Estimates 2024/2025 and the Finance Bill 2024, assessing the nation’s overall condition and the impact of the Kenya Kwanza regime on Friday 14 at Wiper Headquarters.

The Kenya Kwanza regime’s planned Finance Bill, 2024, seeks to fund a Sh3.914 trillion budget through tax collection of Sh3.354 trillion. This grandiose goal comprises several new and amended tax measures that will have a substantial impact on both individuals and businesses in Kenya.

The alliance led by Wiper Party Leader Hon. Kalonzo Musyoka urged members of National Assembly to vote against the bill termed it ‘punitive taxes’ which undermines economic growth.

“The majority of the tax measures in the 2024 Finance Bill are punitive in nature, with substantial consequences for Kenyans. For example, the New Tax on Motor Vehicles proposes a 2.5 percent tax on the value of motor vehicles, with a minimum of Sh5,000 and a maximum of Sh100,000, which, if adopted, will raise the cost of car ownership and result in higher insurance rates,” Kalonzo stated.

The motor vehicle tax is predicted to have an impact on the transportation and logistics industries, thereby increasing the cost of living via a multiplier effect.

Furthermore the coalition noted that ordinary Kenyans, Mama Mboga, Boda-Boda riders, and the people of Mjengo and Mkokoteni have nothing to gain from this Bill because Kenya Kwanza is targeting them for the second time with a double taxation plan that aims to increase taxes by approximately Sh24,000 per adult Kenyan per year.

Moreover Azimio highlighted the misplaced allocations:
The National Treasury has Sh26 B more in the name of development.
The State Department for Devolution has an increase of Sh 2.6B in development expenditure. If this regime believes in the success of devolution, then these funds should form part of the Equitable Share to the County Governments.

The State Department of Housing has been allocated an additional Sh72B. This is higher than that of 10 counties combined.
Office of the Executive President –Sh1.2B
Office of the Deputy President – Sh 678M
Ministry of Defence – Sh11B
Foreign Affairs – Sh 1.4 B
National Treasury –Sh6B
Ministry of Transport Sh1.3B
Ministry of Cooperatives Sh 2 B

Additionally, the Eco Levy will be detrimental to Mwananchi, as it will increase prices for all plastic packaging materials, batteries, and hygiene products. For instance, the Sh150 levy per kilograms of plastic packaging will increase the cost of a 400-gram loaf of bread by Sh9 from Sh65 to Sh74; increase 1 litre of cooking oil by Sh16.81 from Sh300 to Sh316.81; increase 1 kilogram of power detergent by Sh30 from Sh200 to Sh230.

“The budgetary allocation do not promote economic growth but betrays Kenyans. The KK regime maintains its goal of oppressing the poor by enriching themselves through punitive taxes” Kalonzo added

Jubilee Party Sec. Gen Hon Jeremiah Kioni said Kenya Kwanza regime has no plans to common mwananchi
“We rejected this punitive finance bill, the kk regime had reduced school feeding program for our pupils, primary education money has been reduced. The office of the former President Uhuru Kenyatta have not been receiving money hence it’s was in budget 2023/2024 financial year.

In conclusion the Coalition, urge the international community, civil society organizations, and concerned citizens – both at home and abroad – to stand in solidarity with Kenyans in condemning the Kenya Kwanza regime’s blatant disregard for the public good.
“We call for quick action to bring those responsible for this breach of trust accountable and to lobby for a budgetary framework that prioritizes the needs and concerns of all Kenyans, not just the privileged few,” said ODM Sec. Gen Edwin Sifuna.