Lawyer Miguna Miguna has criticized the announcement by President William Ruto on the government’s intention to impose more taxes on Kenyans to help the country get out of debt distress.
Miguna criticized the remarks made by President Ruto during a meeting with Harvard University students at the State House in Nairobi on Tuesday, March 14, 2024.
Ruto during the address affirmed his commitment to ensuring that the country charts a path towards sustainability and reduce reliance on borrowing.
The Head of State retaliated his commitment to ensuring that the country achieves a 16 percent taxation rate by the end of 2024 from the current 14 per cent, and 22 per cent by the end of his first term.
However, Lawyer Miguna Miguna has labelled the remarks by Ruto “reckless” highlighting that Kenyans are over-taxed, repressed, exploited and abused.
The lawyer raised concern over tax collection in the country, claiming that taxes are stolen, misused, diverted and wasted by a few politicians.
Miguna Calls out Ruto
While responding to Ruto’s comments about comparing taxation rates in Kenya to those of other countries, Miguna noted that the services in other countries cannot be compared to Kenya’s.
Also Read: Finance Bill: Bread Prices Set to Increase as Beer Lovers Enjoy Lower Prices
“You can’t compare the 13% goods and services tax, in Canada, for example, which is utilized to provide universal quality healthcare, education, housing, 1st class highways, roads, sewer systems and a million other public services to residents, with the state of collapse, destitution, rot and decay in Kenya,” said Miguna.
Miguna further claimed that the President has no justification for his plans to increase taxes to 20-22% tax on Kenyans. According to him, the country doesn’t receive even 1% worth of value from the taxes paid.
The lawyer listed several solutions which he said are the alternatives the government should explore instead of planning to increase the already unbearable and unjustified high taxes.
Among them, Miguna urged Ruto to stop and eliminate the theft of public resources and taxes in the Kenya Kwanza government.
Also Read: Finance Bill: Mpesa and Bank Charges Set to Increase in New Proposal
The lawyer roped in Agriculture Cabinet Secretary Mithika Linturi while urging the Head of State to fire all officials accused of corruption and mishandling their offices.
Also, Miguna pointed out that the establishment of a process of tracing and returning funds accumulated through corruption would play a part in paying off the bludgeoning public debt.
He called for the establishment of a State Capture Judicial Commission and reduction of abuse of power by the Kenya Kwanza administration.
“Set up the State Capture Judicial Commission, which you promised Kenyans you would establish. Reduce looting, waste, and abuse of power at State House ministries, departments, and all sectors of government,” said Miguna.
Ruto on Increasing Taxes
The outspoken lawyer while hitting back at Ruto’s remarks also urged Ruto to ensure that his administration obeys all court orders and govern in accordance with the constitution and other laws.
Miguna’s response comes after President Ruto declared his stance on increasing taxation rates in the country before his term ends.
According to the Head of State, Kenyans believe that they pay high taxes while other African countries are taxed high on average.
“Kenyans have been socialized to believe that they pay the highest taxes, but empirical data shows as of last year our tax as a percentage of our revenue was at 14%. Our peers in the continent are on an average of between 22% and 25%. Our taxes are way below those of our peers,” Ruto said.
He made a comparison to other countries like France where he pointed out that it has a 45% tax rate while retaliating his drive to push Kenyans to 16% and between 20% and 22% at the end of his term.
Follow our WhatsApp Channel for real-time news updates:
https://whatsapp.com/channel/0029VaB3k54HltYFiQ1f2i2C
