Africa Consumers Hub

Africa Consumers Hub

6/1/2025, 6:54:51 AM

The World Bank says Kenya’s tax system overburdens low-income earners and lacks true progressivity at the top.

Africa Consumers Hub

6/1/2025, 6:51:12 AM

The Ministry of Education has officially shifted Kenya’s education system from CBC to CBE.

Africa Consumers Hub

6/2/2025, 6:02:14 PM

Finance Bill 2025 Highlights Value Added Tax (VAT) Changes 1. e-Invoicing Mandate Expanded o Now required for exempt supplies, enhancing KRA oversight. 2. Refund Timelines Shortened o VAT refund claims reduced from 24 to 12 months; bad debt refunds from 3 to 2 years. 3. Anti-Avoidance Measures o VAT liability if exempt/zero-rated goods are misused (e.g., resold). 4. Exemptions Removed o 16% VAT imposed on:  Aircraft parts (except maintenance-related).  Affordable housing inputs (transitional relief until 2026).  Solar/wind energy equipment (conflicts with green energy goals). o Zero-rated to exempt shifts:  Electric vehicles, solar batteries, pharmaceuticals – input VAT non-recoverable, raising consumer prices. Income Tax Act Amendments 1. Royalty Definition Expanded o Includes software distribution payments, increasing compliance burdens but aligning with KRA’s stance post-Seven Seas Technologies case. 2. Investment Incentives Removed o 100%/150% investment deductions revoked for projects outside Nairobi/Mombasa (>Ksh 1B) and SEZs, potentially discouraging regional investment. 3. Loss Carry-Forward Limited to 5 Years o Negatively impacts long-term projects (e.g., infrastructure, energy) with delayed profitability. 4. Capital Gains Tax (CGT) Changes o Double tax relief on CGT repealed, risking dual taxation. o Exemption for listed securities to boost stock market liquidity. 5. Nairobi International Financial Centre (NIFC) Incentives o 15% corporate tax for 10 years (then 20%) for certified firms investing Ksh 3B+ and employing 75% Kenyan senior management. 6. Digital Economy o Digital Asset Tax reduced to 1.5% (from 3%) to encourage crypto transactions. o Significant Economic Presence Tax (SEPT):  Ksh 5M turnover exemption removed, taxing all non-resident digital service providers. 7. Employee Benefits o Tax-free per diem increased to Ksh 10,000/day (from Ksh 2,000). o Employers must apply all PAYE reliefs upfront, reducing refund claims. Excise Duty Act Amendments 1. Digital Lender Definition Narrowed o Excludes banks/Saccos, targeting unregulated online lenders. 2. Tariff Harmonization o Aligns with EAC Common External Tariff, reducing border disputes. 3. New/Increased Rates o 35% excise duty on imported float glass (EAC-origin exempt). o Coal taxed at 2.5% to discourage pollution. Tax Procedures Act Updates 1. KRA Powers Enhanced o Access to taxpayer data, including trade secrets (privacy concerns raised). o Agency notices extended to non-residents (e.g., digital platforms). 2. Refund Delays o Processing time extended to 120 days (180 if audited), straining cash flow. 3. Penalty Waivers o Cabinet Secretary may waive penalties due to iTax errors. Miscellaneous Fees & Levies 1. Import Levies o IDF/RDL exemptions narrowed to specific aircraft parts (e.g., >2,000 kg). o Export Promotion Levy reduced from 17.5% to 5% for steel imports, aiding construction. #FinanceBill2025

Africa Consumers Hub

6/1/2025, 9:26:40 AM

ICPAK and PKF Eastern Africa want the proposal allowing KRA to access trade secrets and personal data to be dropped. They warn it risks violating Kenya’s Data Protection Act and the right to privacy.

Africa Consumers Hub

5/28/2025, 6:56:24 PM

Renowned Kenyan author Ngugi wa Thiong'o has passed at the age of 87 years, his family confirms.

Africa Consumers Hub

6/2/2025, 4:00:27 PM

Kenya's government owes retirees a staggering Sh108 billion in unpaid pensions and gratuities, according to Controller of Budget Margaret Nyakang’o.

Africa Consumers Hub

6/5/2025, 8:46:22 AM

All over Africa, you will find a mine owned by Canadians, Chinese & Australians. They mine our minerals & give us loans. It’s like someone steals your cow, slaughters it & donates intestines to you. You then welcome them as donors for giving you intestines from your own cow !!!

Africa Consumers Hub

6/3/2025, 4:35:34 PM

https://youtu.be/ScCglyce4NU?si=Btcol5X7fH30sWjQ

Africa Consumers Hub

5/29/2025, 6:25:20 PM

Directorate of Criminal Investigations (DCI) has confirmed the arrest of Grace Nduta Wairimu, the Member of County Assembly for Kanyenya-ini Ward in Murang'a County, in connection with what authorities describe as 'staged abduction' involving Juja MP George Koimburi. According to a statement released on Thursday, Wairimu was apprehended as part of ongoing investigations, with evidence contradicting her claims of being in Kangema for church and political events on May 25. Instead, investigators say she was with Koimburi at Ellis Bar and Restaurant in Kiganjo, Gatundu South, throughout the night. DCI has dismissed widespread social media reports suggesting Wairimu had been abducted, stating that her arrest followed credible leads tied to the alleged fabrication of Koimburi’s disappearance. Authorities say more updates will be provided as inquiries continue.

Africa Consumers Hub

5/26/2025, 2:53:07 PM

Ethiopian Cargo has received its 12th Boeing 777-200LR Freighter aircraft, ET-BAC. This milestone delivery not only expands our cargo capacity but also enhances our logistics network across key global markets, reinforcing our leadership in air freight. What makes this event more historic is the aircraft itself, the Boeing 777-200LRF is the final production of this aircraft type to be manufactured by Boeing, one of the most capable and efficient freighters in aviation history. Ethiopian Airlines is honored to be the recipient of this iconic aircraft, a testament to our strong partnership with Boeing and our continued investment in cutting-edge fleet technology. As Africa’s largest cargo operator, Ethiopian Cargo remains committed to excellence through innovation, customer-centric services, and a deep-rooted focus on sustainability. With the addition of ET-BAC, we continue to shape the future of air logistics, connecting continents, businesses, and communities with unmatched efficiency. #FlyEthiopian #EthiopianCargo #AviationExcellence