The new tax rates announced in a public notice took effect yesterday"The Kenya Revenue Authority informs the public of the changes of tax rates introduced through the Tax Laws (Amendment) Act No 2 of 2020 published on 24th December 2020 and legal Notice No 206 of 2020 of employment income, corporation tax and valued added tax,” read part of the notice. This situation will be complicated by the new tax measures that come at a time when Kenyans are struggling to make ends meet. The government, however, has sought to re-assure Kenyans that the new tax rates will be lower compared to the ones they paid in the pre-Covid-19 period. But under the new tax regime, with new tax bands, they will be paying Sh4,367 compared to the pre-Covid period of Sh7,656. Those earning Sh24,000 and below benefited from a 100 per cent tax waiver.

Source: Standard Digital January 02, 2021 07:16 UTC