UPDATES
Governor Mutula withdraws Makueni Finance Bill after uproar from residents
Makueni Governor Mutula Kilonzo Junior has backtracked on his plan to increase taxes in the county Finance Bill 2024.
He has withdrawn the bill in its entirety to avert the wrath of residents who had cried foul over the proposed tax hike.
This comes barely a week after President William Ruto declined to assent to the Finance Bill, 2024 passed by the National Assembly following days of protests by the youth.
Mr Kilonzo Jnr said he made the move after receiving intelligence reports that residents were planning demonstrations against the planned tax hike.
“We sat as Cabinet and decided not to implement our new tax proposals this year after traders said they could not afford them, citing tough economic times. We will revisit the proposals in the next financial year when the economy improves,” Mr Kilonzo Jnr told reporters on Monday.
The announcement means the county will continue with its 2023/2024 financial plan. The withdrawal followed intense pressure from residents who complained about the tax plan.
Traders have welcomed the move.
“A tax hike would have broken our backs,” said Alphonse Mutisya, a boda boda operator in Makindu Township.
Mr Kilonzo Jnr’s administration was to rely on the tax proposals to realise its Sh11 billion budget, which the County Assembly passed last week.
According to Makueni Finance Executive Damaris Kavoi, some of the new taxes proposed by the county government include Sh30,000 for evacuating flammable substances using standby fire engines, Sh3,000 per day for taking wedding photographs at Makongo Viewpoint, and Sh100 per trip for donkeys used for commercial purposes.
He had also proposed a Sh400 increase in the cess paid on a tractor load of sand used for domestic purposes. “Once the economy improves, we will return to our tax proposals,” said Kilonzo Jnr.
Youthful protesters who set up tents in Wote Town on Tuesday and Thursday last week had heckled Mr Kilonzo Jnr over the plan to increase taxes.
Other residents took to social media to pile pressure on the county boss over the planned tax hike. “Once we are done with the protests against President William Ruto’s Finance Bill, we will start with Makueni’s Finance Bill which has punitive taxes,” said Willie Malile, an activist.
Mr Kilonzo Jnr confirmed that the threats had led to Sunday’s announcement of the withdrawal of the tax plans.
“They had even planned demonstrations against the county government. There was a lot of propaganda about our tax proposals,” he said.
Alternatively, he announced a plan to encourage traders to pay licences and other taxes.
“We have allowed traders to pay for licences in three or four instalments. Traders who pay their licences in a lump sum will get discounts. Small and medium traders will get a 10 percent discount on their lump sum bill, while large traders will get a 5 percent discount on their lump sum bill,” he said.
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