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{
    "id": 579096,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/579096/?format=api",
    "text_counter": 177,
    "type": "speech",
    "speaker_name": "Hon. Nyamweya",
    "speaker_title": "",
    "speaker": {
        "id": 391,
        "legal_name": "Manson Oyongo Nyamweya",
        "slug": "manson-nyamweya"
    },
    "content": "Thank you, Hon. Deputy Speaker for giving me a chance to support this Bill. When I went through this Bill, it had very serious flaws. The first one is about the laptops when they want to give VAT exemption. Either you give 100 per cent exemption or you do not give. If you exempt tax on laptops for children, who will stop somebody from getting the exemption, or get a letter from the Treasury to claim refund and then dump laptops in the market? If the Government is serious on these issues, it should have one policy. You are creating red tape. You are creating agents who will be moving from one office to another to earn economic rent. The idea about industrial parks is a good. The best you can do if somebody is developing a leisure, or a recreational, area or an industrial pack is for the person to pay and receive a tax rebate later. How sure are you that the items the person has brought in do not end up in Eastleigh building somebody’s house? What measures will take to ensure that a person who has brought in goods will use them for the intended purpose? This is creating a very serious loophole for ripping off the tax payer. More importantly, you are going to make the work of the KRA very difficult. Let the person do the job; let him enjoy the tax rebate, but let him complete the facilities. You cannot pretend that you are helping somebody. Of course 16 per cent of tax is a lot of money and somebody has to pay; but you cannot pretend that that is what you want to do, and then start doing a foundation, get steel, cement and everything and then start looking for letters of exemption. You are not sure that these items will end up in the intended project. The Committee should look into these issues. We are in Kenya and know what happens. We will be creating two markets, namely one market which does not pay VAT and another market which pays VAT. We have to come up with a clear programme on how that is going to be handled. I suggest that we give an individual the tax rebate for even ten years, but he must complete the project. That way, we will eliminate joy riders. People will come up with very good proposals. They will show you plots. They will import items with that letter, but the items will never get to the site. Even if they go on site, they 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."
}