Accountants share their two cents (on a budget)

The Finance Bill 2024 remained a hot topic in the week as consumers and business owners continued to voice dissatisfaction with new tax measures introduced in support of the government's austerity.

What happened

Institute of Certified Public Accountants of Kenya (ICPAK) made a Submission on the Finance Bill 2024 sharing proposals for Treasury's consideration most notably around a wider tax base, sealing tax leakages and implementing a national tax policy to bring about a stable tax environment.

Between the lines

According to ICPAK, failure to broaden the tax base has caused the Kenya Revenue Authority (KRA) to consistently miss revenue targets.

“Kenya has continued to place reliance on a small pool of taxpayers, largely drawn from the formal sector,”-ICPAK

The institute identified complicated tax systems, discretionary power on exemptions, and a culture of corruption as key contributors to revenue leakage.

Should you care?

Whether you're actively investing or not, the budget will impact you and your money and investments. Awareness of the contentious issues is paramount as you could be affected in multiple ways once the bill is signed into law.