One of the most contentious clauses on the Finance Bill 2024 has been the removal of bread from the list of items that are zero-rated for VAT purposes, effectively introducing the tax on the breakfast staple.
Bread is now on a list of zero-rated items that include flour, milk and sanitary products. A 16 percent tax will see the price of a 400-gramme loaf go up by more than Sh10.
