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The Kenyan Parliament has rejected a COVID-19 tax relief measure adopted earlier in the year, alleging it is not sustainable, in the midst of a growing health crisis in the country.
Members of Parliament in Kenya have voted to end tax cuts put in place in early April to help citizens deal with the impact of the Covid-19 pandemic.
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The relief was announced by the authorities after the first COVID-19 case in the country. The financial relief established the reduction of income tax, value-added tax, and corporate tax by between 2 percent and 5 percent.
The measures were intended to help Kenyans and local businesses cope with the COVID-19 pandemic as tourism and agriculture sectors, the country's main economic assets, remain almost paralyzed. On Tuesday members of Parliament rejected the measures claiming they were not sustainable.
Kenyan parliament halts COVID-19 related tax relief: Kenya's parliament on Tuesday voted to end tax cuts put in place in April to cushion the economy from the impact of the COVID-19 pandemic, a move lawmakers said would help to plug revenue shortfalls… https://t.co/yTRd0GODyi pic.twitter.com/Sqhlq6rA62
— SA Breaking News (@SABreakingNews) December 22, 2020
The finance minister reported last week that the country had lost nearly $600m (£450m) in revenue since the relief was implemented.
The country is also facing a growing health challenge with increasing numbers of COVID-19 cases amid a strike by doctors working in the public sector, who denounced poor working conditions and a lack of protective equipment.
#FromTheSouth News Bits | Kenya extends curfew to curb accelerating number of COVID-19 cases. pic.twitter.com/mdjyLb1mIp
— teleSUR English (@telesurenglish) November 5, 2020
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