Consider voluntary homes plan at startFriday May 26 2023
The debate on tax proposals in the Finance Bill 2023 continues to draw mixed reactions as the public discusses the merits and demerits of Kenya Kwanza administration's first Budget estimates.
The proposal to introduce a housing levy has sparked controversy. And on Wednesday, Housing PS Charles Hinga explained the government's position on the proposal in what turned out to be a nerve-wracking moment.
The Housing PS sought to sell one of Kenya Kwanza's pillars for socio-economic development. While the government may be having a noble agenda worth supporting, the raft of reforms might hurt citizens whose welfare the William Ruto administration seeks to improve.
One is possible job losses.
Housing is crucial, but the government seems to be rushing to implement the levy driven by the need to boost supply.
We suggest that the proposed levy be staggered by making it voluntary on a pilot basis as experts monitor its outcomes.
This could also help inspire confidence in the public and create demand after demonstrating the benefits the takers stand to make from their contributions.