KRA, MCAs lock horns over Sh2 million car grant


THE STANDARD
By
Fredrick Obura |
February 26th 2021 at 14:28:42 GMT +0300
NAIROBI, KENYA: The Kenya Revenue Authority will tax car grants extended to Members of County Assemblies after intervention by President Uhuru Kenyatta.
In a notice, the taxman said the Sh2 million grant fits into the tax bracket. It plans to take away 30 per cent of the allowance leaving the politicians with about Sh1.4 million.
The decision has already attracted criticism from some MCAs noting that taking away a whooping Sh600, 000 from President’s offer will leave them with little money to buy their dream cars.
The ward representatives argue that they need high capacity vehicles to withstand the status of rural roads most of which not tarmacked. “If KRA implements the 30 per cent tax on the allowance, we will be left with only Sh1.4 million, that can only afford a small second-hand car which will be of no help owing to the status of most roads in the rural areas,” said Gilbert Tunai, a whip in the Uasin Gishu County Assembly.

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