Activist Omtatah opposes new tax scheme by Govt

Activist Okiya Omtatah leaves the High Court in Bungoma. He has challenged the new tax scheme. PHOTO | FILE | NATION MEDIA GROUP

What you need to know:

  • The tax proposals are aimed at beefing up revenue for the Sh3 trillion budget.
  • Omtatah wants the court to suspend with immediate effect the imposition of any tax proposed in the bill.

Activist Okiya Omtatah wants court to suspend the imposition of new tax measures as proposed in the Finance Bill 2018, saying due process was not followed.

Mr Omtatah argues that Kenyan taxpayers must be shielded from exposure to taxes which have not been approved by Parliament.

Mr Omtatah has sued National Treasury Cabinet Secretary Henry Rotich, the Commissioner General Kenya Revenue Authority, the National Assembly and the Attorney-General.

BUDGET

The tax proposals are aimed at beefing up revenue for the Sh3 trillion budget.

Mr Omtatah says that the bill was published after Mr Rotich read the 2018/2018 budget statement last month.

"Purporting to give the CS (Mr Rotich) powers to temporarily amend the national tax revenue statutes through a finance bill without having it first go through the legislative process to become law as explained is unconstitutional, and therefore invalid, null and void," Mr Omtatah said.

SUSPEND ENFORCEMENT

In his suit, he argues that even though the budget statement was the First Reading of the Finance Bill, most of the changes are mere proposals hence subject to approval or rejection by Parliament, but they took effect soon after.

Moreover, Mr Omtatah advances that the law stipulates that all bills must go through the legislative process that includes public participation before they become law.

He thus wants the court to suspend with immediate effect the imposition of any tax proposed in the bill.