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{
    "id": 808264,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/808264/?format=api",
    "text_counter": 193,
    "type": "speech",
    "speaker_name": "Garissa Township, JP",
    "speaker_title": "Hon. Aden Duale",
    "speaker": {
        "id": 15,
        "legal_name": "Aden Bare Duale",
        "slug": "aden-duale"
    },
    "content": "and amend the Value Added Tax, 2013, in order to move some categories of items listed in the schedule to the Bill from zero rated to tax exempt in order to limit zero rating to exports. I have read the Report of the Departmental Committee on Finance and National Planning. The Committee has disagreed with the CS on that matter. The Chair will give the reasons because he is the one who had contact with the stakeholders. The proposed amendments to the Income Tax Act seek to introduce withholding tax on winnings from betting and gaming at a rate of 20 per cent for non-residents and resident persons. These measures reflect the Government’s intention to benefit from the growing betting industry through additional tax collection. These measures were already in the Income Tax Act that was repealed due to implementation challenges and subsequent measures to tax. On this note, I thank the CS for Interior and Coordination of National Government, Hon. Fred Matiang’i, for mobilising and collecting the Chinese made machines where Kenyans no longer go to the farm, to school, to church and to the mosque. For us, we go to the mosque because we do not believe in gambling. Muslims do not believe in gambling. So, I am just speaking on behalf of other Kenyans. Those machines have destroyed the lives of our people. We want Hon. Matiang’i not to stop. Let him continue and make sure that any chief, DO or DC who does not comply with this order is relieved of his duties. Even mama mboga these days does not go to the market. When she gets Kshs200 for food for her children, she passes through the machines in every village. Hon. Limo, the Chair of the Departmental Committee on Finance and Planning told me that in the villages, within his constituency, there are big billboards that show the shops where these machines are. I think we need to support the Government and the CS. The proposed amendment to Section 22(c)(2) of the Income Tax Act further seeks to increase the allowance for depositors of home ownership savings plan from Kshs48,000 to Kshs96,000 per annum. This amendment is meant to facilitate potential first-time home owners to save for the purpose of purchasing or constructing houses. So, in fact, this amendment is geared towards one of the big four projects of the President, which is about increasing and building 500,000 affordable housing units in our country. The other proposed amendment is to the First Schedule of the Income Tax Act. This seeks to exempt from Capital Gains Tax and compensate tax levied to those who are developing new businesses at the special economic zones. The Bill seeks to amend the VAT Act to remove a number of items currently listed as zero-rated for VAT purposes to exempt in the Schedule. This move is largely geared towards restricting zero-rating of taxable supplies to exports. The Chair of the Budget and Appropriations Committee and one of our commissioners are consulting in very loud voices. I told the Member for Kikuyu that he can now take leave. His business ended and now the business of the Chair of the Departmental Committee on Finance and National Planning has begun for those of us who know the budget cycle. From now, it is Hon. Limo who is taking charge because of the Finance Bill and all related Bills. The Chair of the Budget and Appropriations Committee has to complete the Appropriations Bill. As I conclude, I wish to assure the Hon. Members that the proposals in this Bill comply with the provisions of the Constitution and the Standing Orders. The amendments proposed will not only spur economic growth, but also immensely improve the collection of revenue by the KRA. Further, those proposals will help in the realisation of the key pillars of the Big Four Agenda such as access to affordable housing through the reduction of the transaction cost among other incentives. Finally, this Bill must be expedited. I am sure if we finish with it today, we must deal with it next week at the Committee of the whole House, so that the Finance Bill does not find it The electronic version of the Official Hansard Report is for information purposes only. Acertified version of this Report can be obtained from the Hansard Editor."
}