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Not with Kenyans' tax money

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Salaries and allowances for all MPs for one term will be Sh27.3 billion, more than the budget for free primary education and the purchase of computers in each of the 210 constituencies this financial year. Photo/FILE

Salaries and allowances for all MPs for one term will be Sh27.3 billion, more than the budget for free primary education and the purchase of computers in each of the 210 constituencies this financial year. Photo/FILE 

By PETER LEFTIE
Posted  Thursday, July 1  2010 at  22:30

The government chief whip, the leader of the Official Opposition and PSC commissioners will earn Sh1.6 million while Cabinet ministers and the Opposition whip will pocket Sh1.4 million.

Pay tax

Others who will earn more than ordinary MPs (backbenchers) include temporary Speakers, who will take home Sh1.5 million, and party whips and assistant ministers, who will earn Sh1.3 million. MPs have previously enjoyed tax-free salaries, but under the new regime, they will have to pay tax on their basic salaries and some allowances.

But the increased salaries and allowances will more than compensate for the taxation and actually leave them Sh12,000 richer. The Bills to be tabled in Parliament to legalise the new salary structure also recommend that the mortgage for every MP be increased from the current Sh15 million to Sh20 million to be repaid in five years under low interest rates.

In addition, the MPs have voted to raise their severance allowance from the current Sh300,000 for every year served to Sh720,000 for the same period. The burden on the taxpayer will extend to car loans for the MPs. Each MP is entitled to a Sh3 million car loan.

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