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VAT BIll 2013 Politics
Rank: Veteran Joined: 11/15/2012 Posts: 1,110
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There is a lot of misinformation about the VAT bill 2013. I would like to lay the blame squarely on the media for misinforming the public.
The first misconception is that the VAT bill will increase the cost of basic commodities for the common man. This is not entirely true. Most of the poor do not rely on processed foods. At least those who rely on processed foods can afford them. Again, some of the goods that are zero rated are not exclusively used by the poor people. Therefore, once the tax is removed, there is a huge number of people who will enjoy the "subsidy" while they do not form part of the poor group that should benefit from the "subsidy."
Live Full Die Empty - Les Brown.
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Rank: Elder Joined: 4/22/2010 Posts: 11,522 Location: Nairobi
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InnovateGuy wrote:There is a lot of misinformation about the VAT bill 2013. I would like to lay the blame squarely on the media for misinforming the public.
The first misconception is that the VAT bill will increase the cost of basic commodities for the common man. This is not entirely true. Most of the poor do not rely on processed foods. At least those who rely on processed foods can afford them. Again, some of the goods that are zero rated are not exclusively used by the poor people. Therefore, once the tax is removed, there is a huge number of people who will enjoy the "subsidy" while they do not form part of the poor group that should benefit from the "subsidy."
But commodity prices will go up right...the maziwas,mkates etc possunt quia posse videntur
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Rank: Veteran Joined: 11/15/2012 Posts: 1,110
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maka wrote:InnovateGuy wrote:There is a lot of misinformation about the VAT bill 2013. I would like to lay the blame squarely on the media for misinforming the public.
The first misconception is that the VAT bill will increase the cost of basic commodities for the common man. This is not entirely true. Most of the poor do not rely on processed foods. At least those who rely on processed foods can afford them. Again, some of the goods that are zero rated are not exclusively used by the poor people. Therefore, once the tax is removed, there is a huge number of people who will enjoy the "subsidy" while they do not form part of the poor group that should benefit from the "subsidy."
But commodity prices will go up right...the maziwas,mkates etc
Yes.But it's not a bad thing because there is a huge group of people that does not pay any other form of taxes. They can only pay through the goods they purchase.
The reason why the government did not go for this category before is because the thinking was that the exemption of some goods from taxation would cushion the poor in terms of the cost of living. The problem with this is that other people who are not necessarily poor benefit from the exemption.
Live Full Die Empty - Les Brown.
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Rank: Elder Joined: 6/17/2008 Posts: 23,365 Location: Nairobi
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InnovateGuy wrote:maka wrote:InnovateGuy wrote:There is a lot of misinformation about the VAT bill 2013. I would like to lay the blame squarely on the media for misinforming the public.
The first misconception is that the VAT bill will increase the cost of basic commodities for the common man. This is not entirely true. Most of the poor do not rely on processed foods. At least those who rely on processed foods can afford them. Again, some of the goods that are zero rated are not exclusively used by the poor people. Therefore, once the tax is removed, there is a huge number of people who will enjoy the "subsidy" while they do not form part of the poor group that should benefit from the "subsidy."
But commodity prices will go up right...the maziwas,mkates etc
Yes.But it's not a bad thing because there is a huge group of people that does not pay any other form of taxes. They can only pay through the goods they purchase.
The reason why the government did not go for this category before is because the thinking was that the exemption of some goods from taxation would cushion the poor in terms of the cost of living. The problem with this is that other people who are not necessarily poor benefit from the exemption.
So what do the poor eat especially in Nairobi.....what pads do they use, please enlighten me!!! ..."Wewe ni mtu mdogo sana....na mwenye amekuandika pia ni mtu mdogo sana!".
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Rank: Veteran Joined: 11/15/2012 Posts: 1,110
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McReggae wrote:InnovateGuy wrote:maka wrote:InnovateGuy wrote:There is a lot of misinformation about the VAT bill 2013. I would like to lay the blame squarely on the media for misinforming the public.
The first misconception is that the VAT bill will increase the cost of basic commodities for the common man. This is not entirely true. Most of the poor do not rely on processed foods. At least those who rely on processed foods can afford them. Again, some of the goods that are zero rated are not exclusively used by the poor people. Therefore, once the tax is removed, there is a huge number of people who will enjoy the "subsidy" while they do not form part of the poor group that should benefit from the "subsidy."
But commodity prices will go up right...the maziwas,mkates etc
Yes.But it's not a bad thing because there is a huge group of people that does not pay any other form of taxes. They can only pay through the goods they purchase.
The reason why the government did not go for this category before is because the thinking was that the exemption of some goods from taxation would cushion the poor in terms of the cost of living. The problem with this is that other people who are not necessarily poor benefit from the exemption.
So what do the poor eat especially in Nairobi.....what pads do they use, please enlighten me!!! This category can be targeted by providing the basics directly to them. Live Full Die Empty - Les Brown.
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Rank: Elder Joined: 6/17/2008 Posts: 23,365 Location: Nairobi
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InnovateGuy wrote:McReggae wrote:InnovateGuy wrote:maka wrote:InnovateGuy wrote:There is a lot of misinformation about the VAT bill 2013. I would like to lay the blame squarely on the media for misinforming the public.
The first misconception is that the VAT bill will increase the cost of basic commodities for the common man. This is not entirely true. Most of the poor do not rely on processed foods. At least those who rely on processed foods can afford them. Again, some of the goods that are zero rated are not exclusively used by the poor people. Therefore, once the tax is removed, there is a huge number of people who will enjoy the "subsidy" while they do not form part of the poor group that should benefit from the "subsidy."
But commodity prices will go up right...the maziwas,mkates etc
Yes.But it's not a bad thing because there is a huge group of people that does not pay any other form of taxes. They can only pay through the goods they purchase.
The reason why the government did not go for this category before is because the thinking was that the exemption of some goods from taxation would cushion the poor in terms of the cost of living. The problem with this is that other people who are not necessarily poor benefit from the exemption.
So what do the poor eat especially in Nairobi.....what pads do they use, please enlighten me!!! This category can be targeted by providing the basics directly to them. You did not answer my question, moving on, is their a deliberate attempt to provide the basics to this category as the bill gets to parliament???? ..."Wewe ni mtu mdogo sana....na mwenye amekuandika pia ni mtu mdogo sana!".
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Rank: New-farer Joined: 6/30/2011 Posts: 81
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maka wrote:InnovateGuy wrote:There is a lot of misinformation about the VAT bill 2013. I would like to lay the blame squarely on the media for misinforming the public.
The first misconception is that the VAT bill will increase the cost of basic commodities for the common man. This is not entirely true. Most of the poor do not rely on processed foods. At least those who rely on processed foods can afford them. Again, some of the goods that are zero rated are not exclusively used by the poor people. Therefore, once the tax is removed, there is a huge number of people who will enjoy the "subsidy" while they do not form part of the poor group that should benefit from the "subsidy."
But commodity prices will go up right...the maziwas,mkates etc In a country where the amount of money we get through aid is equivalent to funds lost through tax evasion, doesn’t it make more sense for the govt to concerntrate on sealing tax evasion loopholes and make the rich pay their taxes instead of burdening the ordinary mwananchi with tax increases? To me these are signs of an insensitive Govt that is bend on widening the gap between rich and poor.
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Rank: Member Joined: 2/22/2010 Posts: 510 Location: De egg
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InnovateGuy wrote:McReggae wrote:InnovateGuy wrote:maka wrote:InnovateGuy wrote:There is a lot of misinformation about the VAT bill 2013. I would like to lay the blame squarely on the media for misinforming the public.
The first misconception is that the VAT bill will increase the cost of basic commodities for the common man. This is not entirely true. Most of the poor do not rely on processed foods. At least those who rely on processed foods can afford them. Again, some of the goods that are zero rated are not exclusively used by the poor people. Therefore, once the tax is removed, there is a huge number of people who will enjoy the "subsidy" while they do not form part of the poor group that should benefit from the "subsidy."
But commodity prices will go up right...the maziwas,mkates etc
Yes.But it's not a bad thing because there is a huge group of people that does not pay any other form of taxes. They can only pay through the goods they purchase.
The reason why the government did not go for this category before is because the thinking was that the exemption of some goods from taxation would cushion the poor in terms of the cost of living. The problem with this is that other people who are not necessarily poor benefit from the exemption.
So what do the poor eat especially in Nairobi.....what pads do they use, please enlighten me!!! This category can be targeted by providing the basics directly to them. How cost effective or is it just another avenue ya corruption. Targeting the vulnerable has been a challenge. E.g Look around and tell us who benefited most from the subsidized unga. Peace be with you
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Rank: Elder Joined: 6/20/2012 Posts: 3,855 Location: Othumo
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The gava needs revenue to run, let us give them a chance. Moving on the VAT increments wont affect the poor but middle class onwards. Thieves
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Rank: Veteran Joined: 11/15/2012 Posts: 1,110
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King G wrote:The gava needs revenue to run, let us give them a chance. Moving on the VAT increments wont affect the poor but middle class onwards. Exactly. And they are the people making a lot of noise and misinforming the public. Live Full Die Empty - Les Brown.
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