NAIROBI, Kenya, May 20 – Individual and firms importing dirty palm oil for repackaging before selling will face higher taxes as the state moves to introduce new taxes on such commodities.
According to local manufacturers, the government’s move to introduce a 25 percent excise duty on vegetable oils under the proposed Finance Act 2024 will greatly impact and hike the price of the related commodities.
The duty is set to impact products including Palm oil and its fractions, whether or not refined, but not chemically modified, Sunflower-seed, safflower or cotton-seed oil and fractions both non refined and refined but not chemically modified.
Other are fixed vegetable or microbial fats and oils including jojoba oil and their fractions, refined and non- refined, but not chemically modified
Additionally, Margarine, edible mixtures or preparations of animal, vegetable or microbial fats or oils as well as fractions of different fats or oils classified in the Chapter 15 of the EAC CET HS Codes will also be affected.
The proposed 2024 Finance Bill sponsored by Molo MP Kimani Kuria, who also chairs the National Assembly Finance Committee seeks to introduce new levies including VAT on bread and increased excise taxes on spirits, cigarettes, M-Pesa, airtime and bank transfers, among others.
The Bill which contains proposals relating to revenue-raising measures, including a raft of taxes is currently undergoing a public participation process.
The public participation exercise deadline for the bill is on May 28, 2024.
