Super salary earners will get a monthly benefit of about Sh668 following the review of income tax bands and the increase in personal relief aimed at easing workers’ tax burden. The proposals seek to expand bands by 10 per cent and increase personal relief from the current Sh1,280 to Sh1,408 per month in a review which will see those earning Sh25,000 monthly gain Sh292.
Analysts say that benefits of the income tax review — the second in 12 years — will be wiped out by inflation. Kenya’s inflation rose to 10.28 per cent year-on-year in March, its highest level since May 2012, pushed by higher food prices.