After supporting RUTO, WAIGURU cries after KRA came for her and other governors – They should have listened to UHURU

Tuesday, June 11, 2024 - Kirinyaga County Governor Anne Waiguru has protested a move by the Kenya Revenue Authority (KRA) to impose value-added tax (VAT) on counties’ Own-Source Revenue (OSR).

In a statement on Monday, Waiguru, who is also the Council of Governors chairperson, said the tax authority is overstepping its mandate by demanding VAT on the devolved unit’s revenue sources and attendant interest and penalties.

“We take the greatest exception to these unwarranted demands which are unfounded and undermine the principles of Article 6(2) of the Constitution. 

"Article 209 of the Constitution outlines the taxes and charges to be imposed by either level of government,” Waiguru said.

"We, therefore, find the demands by KRA on imposition of VAT on counties’ OSR unconstitutional and an encroachment on the powers to impose taxes and duties of the counties in contravention to Article 209 (3) and (4) of the Constitution.”

Governors say services provided by counties in the performance of their functions are exempt from VAT as set out in the Fourth Schedule of the Constitution.

“It is on this premise that we find that the KRA has no basis for these demands,” said the CoG chair.


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