VATupdate

Share this post on

Kenya Bankers Association Urges Government to Reconsider 16% VAT on Financial Transactions

  • Kenya Bankers Association urges government to reconsider proposed 16% VAT on financial transactions
  • CEO states bank charges are not payments but cost recovery
  • Finance Bill 2024 introduces VAT on various financial services
  • Increased cost of banking will hamper financial inclusion efforts
  • Total taxation on financial services could reach 40%
  • Proposed VAT on foreign exchange transactions could hinder economic growth
  • VAT on FX transactions could increase costs, including fuel prices
  • KBA supports government efforts to boost revenue collection but emphasizes need for balanced taxation approach

Source: capitalfm.co.ke

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

Sponsors:

VAT news

Advertisements: