One of those taxes is the turnover tax on small business owners. Now labelled the ‘Mama Mboga tax’, turnover tax is aimed at businesses whose yearly turnover does not exceed Sh5 million. In a column published in the Star in February, Meyo wrote that turnover tax was reintroduced to “bring the informal sector into the tax bracket and ensure equitable distribution of the tax burden”. Kenya’s experience with turnover tax began in 2007, with the assumption that small and micro enterprises don’t pay taxes. Turnover tax was replaced with presumptive tax in 2019 but was reinstated this year.

Source: The Star March 13, 2020 03:00 UTC