The controversial Finance Bill which is currently in its committee stage after the second reading has seen the government and the public hold a divergent view on the suitability of the bill in the next fiscal year (2024/2025).
The two factions (government and the public), driven by vested interests, have drawn reasons why the bill should be accepted or rejected.
The government's side maintained that the passing of the bill would expedite the execution of its mandate by collecting taxes as the main source of revenue source.
The public, especially Gen Z, on the other hand, took to the streets to protest and push the members of parliament to reject the bill.
They decried new taxes which had been imposed on bread, vegetable oil, and sanitary pads.
Provisions of the bill, before its committee stage, included 16% VAT imposed on bread, eco levy tax imposed on vegetable oil and diapers, tax hikes on mobile money transfers, and a new annual 2.5% tax on cars.
The eco-tax proposed on the bill was to provide a cushion against products considered harmful to the environment. These products included those that are packaged in plastics and tyres.
This meant that the cost of goods such as nappies, sanitary towels, computers, and mobile phones would rise.
Already burdened by the tax hikes, Kenyans took to the streets to reject the bill that would occasionally raise the cost of living due to increase in commodity prices.
The protests built on social media platforms with anti-finance bill campaigns pushing legislators and other relevant leaders to reject the bill that would overburden Kenyans.
But what was the government's take?
The state maintained that if the bill was assented to law, it would give the government the legal force to collect taxes to finance the country's fiscal year budget.
President William Ruto noted that the raft of measures are aimed at reducing Kenya's reliance on borrowing to fund its budget. The 'new path' was to make Kenya dependent and be able to finance its activities without solely depending on borrowing from foreign countries.
According to the National Assembly Majority Leader Kimani Ichungwa, if the bill is dropped, the government will be exposed to a financial tirade in the new financial year 2024/2025.
"The finance bill's role is to help the government collect taxes. The money collected is then channeled to various development projects in the country."
Similar sentiments were also echoed by the Prime Cabinet Secretary Musalia Mudavadi.
Ichungwa said, voting down the bill would capture the state's execution of key projects.
"Rejecting finance bill will end all government's infrastructural services. It will halt road construction, medical and health services, and educational services including JSS roll out."
The two divergent views from both the government and the public call for a continued debate that will see both sides read from the same page. The public plea is to revise the bill and make it reasonable to Kenyans.
The bill is now in the committee of the House, where it will be subjected to various amendments proposed by legislators.
