Entry Instance

HTTP 200 OK
Allow: GET, PUT, PATCH, DELETE, HEAD, OPTIONS
Content-Type: application/json
Vary: Accept

{
    "id": 1080034,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1080034/?format=api",
    "text_counter": 183,
    "type": "speech",
    "speaker_name": "Hon. Speaker",
    "speaker_title": "",
    "speaker": null,
    "content": "I am informed that upon consideration of the amendments proposed by the Member, the Departmental Committee on Finance and National Planning has recommended that the amendments to Clauses 1, 7 and paragraph (d) of the proposed amendment to Clause 25 should not be considered as they have a considerable negative effect on the revenue collection which may in turn require a reconsideration of the national budget. The said amendments will, therefore, not be considered. Nonetheless, the proposed amendments to Clause 22, paragraphs (a), (b) and (c) of the proposed amendments to Clause 25 and New Clause 23A may proceed for consideration at the Committee of the whole House Stage. (4) Proposed amendments relating to the Value Added Tax Act on certain agricultural products. The Member for Moiben, Hon. Silas Tiren, has proposed amendment to Clause 21 to include a list of 25 agricultural machinery and farm implement items as VAT exempted items under the Value Added Tax Act, 2013. The items include ploughs, harrows, manure spreaders and other farm machineries. Whereas the intention is good and may go a long way in supporting agricultural activities in the country, my hands and those of the House are tied by the requirements of Article 114 of the Constitution. Similar to the previous proposals, the Committee and the Cabinet Secretary for the National Treasury are concerned by the huge effect of the amendments to the revenue collection. The Committee has, therefore, advised against their consideration with exception of one item. Therefore, the amendments will not be considered by the Committee of the whole House, save for the first item of paragraph (b) of the proposed amendment which is listed as proposed item No.134 being tractors other than road tractors or semi-trailers. The net effect is that, that will be considered. In summary, Hon. Members, the proposed amendments that were received through my office and for which a disclaimer under Article 114 of the Constitution has been made in today’s Order Paper, will be proceeded with in the manner that I have guided above. As I conclude, I wish to remind the House of the provisions of Section 39 (a) of the Public Finance Management Act, 2012 which states in part: “39A. Submission, consideration and passing of the Finance Bill (4) Any recommendations made by the relevant committee of the National Assembly or resolution passed by the National Assembly on revenue matters shall- (c) consider the impact of the proposed changes on the composition of the tax revenue with reference to direct and indirect taxes; (d) consider domestic, regional and international tax trends; (e) consider the impact on development, investment, employment and economic growth; (f) take into account the recommendations of the Cabinet Secretary as provided for under Article 114 of the Constitution; and, (g) take into account the taxation and other tariff arrangements and obligations that Kenya has ratified, including taxation and tariff arrangements under the East African Community Treaty.” In this regard, due consideration should always be made when proposing amendments to a Finance Bill or other revenue related legislations to ensure compliance with the Constitution, the Public Finance Management Act, 2012 and our own Standing Orders. The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
}