RUTO moves to exempt Arabs from paying taxes even as he overtaxes fellow Kenyans – Look! This is insane

 Friday, February 2, 2024 – Arabs may no longer be required to pay taxes in Kenya following the latest move by President William Ruto regarding double taxation.

This is after Ruto’s government concluded receiving comments from Kenyans regarding the plans to establish a Double Tax Agreement (DTA) with Jordan.

In the process being spearheaded by the National Treasury, Kenya is now preparing a final draft to eliminate double taxation for income tax. 

Once completed, Jordan nationals with businesses in Kenya will be exempted from paying income tax as they would have already paid in their home country. 

Kenyan nationals who have entrepreneurial ventures in Jordan will be extended the same courtesy, as part of the DTA. 

“Double taxation is a tax principle referring to income taxes paid twice on the same source of income,” the Treasury explained. 

Double taxation can happen at both corporate and individual levels or in international trade where the same income is taxed in two different countries, in this case, Kenya and Jordan. 

According to the National Treasury, Kenya does not usually pursue ending double taxation at corporate and individual levels but at the international level. 

DTA is borne out of the presumption that double taxation is an unintended consequence of tax legislation.

“It is generally seen as a negative element of a tax system, and tax authorities attempt to avoid it whenever possible,” the National Treasury states. 

The Kenyan DAILY POST