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{
    "id": 655855,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/655855/?format=api",
    "text_counter": 156,
    "type": "speech",
    "speaker_name": "Hon. A.B. Duale",
    "speaker_title": "",
    "speaker": {
        "id": 15,
        "legal_name": "Aden Bare Duale",
        "slug": "aden-duale"
    },
    "content": "I would also like to highlight that goods exported to the East African Community (EAC) partner states are exempted from export levy. They are also exempted from the Railway Development Levy and the import declaration fee (IDF). These levies are exempted on goods from East African partner states. If a Kenyan wants to export goods from Tanzania, Uganda, Rwanda, Burundi and South Sudan - which is the latest entrant to the EAC - they will be exempted from IDF. These goods must meet the EAC rules of origin, in the spirit and commitment that we signed with our partner states. Those goods must be confirmed to originate from the partner states. One can bring sugar from Brazil and repackage it in Uganda or Tanzania so as to evade IDF. In order to comply with our commitment to the Vienna Convention, this Bill has proposed to exempt levies on railway development goods imported by the United Nations (UN) and diplomatic missions for their official use. This is a small Bill. It has very few provisions which I want to highlight. I have highlighted some of them so that I can give Members time to look at them. Part I of the Bill gives the preliminary provisions which are found in any Bill. Part II of the Bill deals with the functions and powers of the Commissioner as well as the appointment of authorised officers necessary for the administration of this Act within the Kenya Revenue Authority (KRA). Part III of the Bill provides for the imposition of export levy on goods which are specified in the First Schedule of the Bill. This includes the Railway Development Levy and the IDF on goods imported for home use. This part also provides leeway for the Commissioner to make adjustments in the unlikely event of an increase in inflation. Depending on the rate of inflation in our country, the Commissioner has been given certain leeway and powers to make adjustments to the specific rate of the export levy. Further, Part III gives the provisions relating to the exemptions from the IDF and the Railway Development Levy. It also provides for the application of the East African Community Customs Management Act relating to the assessment, collection and enforcement of payment of IDF, Railway Development Levy and export levy. Part IV contains normal miscellaneous provisions. It stipulates how to deal with penalties and provides for fines on a person convicted of an offence under this Bill. It also gives powers to the Cabinet Secretary of the National Treasury to introduce regulations. The First Schedule of the Bill provides for goods subjected to the export levy. It specifies which these goods are. In the First Schedule, you will see the goods which are subjected to the export levy and the specific applicable rates. The schedule further provides for the kind of goods which are exempted from the export levy and are exported to the EAC partner states or to the Export Processing Zones (EPZ). Finally, the Second Schedule provides for the goods that are exempted from the payment of IDF and the Railway Development Levy. Article 209(1)(c) of the Constitution states that imposition of customs duty and other duties on import and export goods is the responsibility of the national Government. That gives us the comfort that this Bill does not concern county governments. This Bill will not head to the Senate within the reading of Article 209 (1)(c) of the Constitution. Finally, the enactment of this Bill shall not occasion any additional expenditure or public resources. With those remarks, I ask the Vice-Chairperson of the Departmental Committee on Finance, Planning and Trade to second. 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."
}