Cherargei Dismisses Uproar, Says MPs Will Pass Finance Bill 2023

Nandi senator, Samson Cherargei, on Tuesday, May 9 claimed that the Parliament will pass the Finance Bill 2023 without any amendments, despite the nationwide uproar ensuing over the proposals.

On Thursday, May 4, the National Treasury tabled the Finance Bill 2023 in the National Assembly and since then, many Kenyans have opposed the proposals to increase taxes.

Cherargei believed that the Kenya Kwanza government was left with two choices, either borrow more money or use more taxes to raise its own revenue.

President William Ruto speaking at the roadside during the launch of bitumen standard of the Njoro-Beeston-Neisut, Beeston-Lawina-Elburgon and Mauche-Sururu Roads in Nakuru County on Thursday, April 6, 2023. /TWITTER.WILLIAM RUTO

“On the Finance Bill 2023 the decision to pass by Parliament is not optional where even coma shall not be amended be because we either borrow more or raise our own revenue through taxation,” said Cherargei.

The senator had accused Azimio la Umoja leader, Raila Odinga, of failing to oppose the public debt during former President Uhuru Kenyatta's regime yet he was close to the retired Head of State.

“The serious public debt of Ksh10 trillion was put by the Handshake government of Uhuru/ Tinga (Raila) that the Kenyans are paying heavily now. Tinga did not raise an objection in the handshake government yet he was a senior advisor to Uhuru then this hypocrisy should stop.

"This is because no new taxes are being introduced in the country,” Cherargei added.

Kericho Senator Aaron Cheruiyot, who doubles up as the majority leader in the Senate, agreed with Cherargei on increasing taxes.

“Any conversation on taxes without an accurate referral to the debt strain Kenya is facing is idle talk that should be ignored. Whether from the opposition or the media, what the country needs is a dose of reality on how steep the climb is, not cheap brownie points,” he stated.

Cherargei and Cheruiyot are staunch supporters of President William Ruto and the Kenya Kwanza administration. Both were elected through Ruto's party, the United Democratic Alliance (UDA).

In a surprise twist, Mathira Member of Parliament Eric Wamumbi vowed to oppose the Finance Bill, stating that “I will not be supporting the new taxes proposed in the finance bill. We cannot frustrate a Kenyan that has been frustrated already. As a responsible Member of Parliament, I will stand with the people."

“We wish to make it clear that as a party we will try our best to ensure that this anti-people budget is not passed by the National Assembly.

"In the event Kenya Kwanza uses its hired majority and passes the bill as it is, we want the people of Kenya to understand it's Kenya Kwanza’s budget. We will instruct our members of parliament to have nothing to do with it,” he addressed.

The former Prime Minister argued that some of the proposals were against the promises the Head of State had made during the campaign period leading up to the elections on August 9, 2022.

Of particular focus was the move by the government to impose a withholding tax of 15 per cent for digital content monetisation whereby content creators are contracted by companies to market their products on social media platforms where they attract a huge following.

Coinciding with taxing content creators, Raila also rejected the proposal for the government to tax wigs, human hair, false beards, eyebrows and eyelashes at a 5 per cent excise duty, warning that this would not only lock out the youth and women from jobs in that sector, which they dominate but also force beauticians to hike the prices of their wares sold to customers.

"Kenya Kwanza wants to treat beauty as a luxury. Beauty products such as wigs, false beards, eyelashes, human hair, and artificial nails, among others, will see their taxes rise from Ksh0.6 to Ksh2.5 per stamp. This is a 316 per cent hike.

"Like the digital economy, the beauty industry has become a major employer, particularly of our youth and women who have been unable to find work elsewhere. It is a home to hustlers and now Kenya Kwanza is going after their earnings. We disagree," he went on.