Kenya news via the grapevine :
The Treasury has introduced a 10% excise tax on all money transfers, which will inevitably lead to generally higher prices, and the unfortunate consumer will bear the burden. It will cover not only bank transactions but mobile phone cash transfer systems such as M-Pesa and even the PO Savings Bank. “Its impact in the short term will be inflation and increase in the price of goods.” There is also a risk of creating an extensive “underground economy” which will deprive the Treasury of considerable revenue. A levy of 1.5% on the customs value of imported goods for railway development is already in force. The Kenya Revenue Authority missed its revenue target for 2012/2013 financial year by Shs.81 billion, although it showed a growth of 13.2% over the previous year. Part of the loss was attributed to “a shift in consumption patterns towards products with lower or zero tax rates.”
Depriving any Treasury of revenue is the number one thing we should all be striving to do.
The Treasury has introduced a 10% excise tax on all money transfers, which will inevitably lead to generally higher prices, and the unfortunate consumer will bear the burden. It will cover not only bank transactions but mobile phone cash transfer systems such as M-Pesa and even the PO Savings Bank. “Its impact in the short term will be inflation and increase in the price of goods.” There is also a risk of creating an extensive “underground economy” which will deprive the Treasury of considerable revenue. A levy of 1.5% on the customs value of imported goods for railway development is already in force. The Kenya Revenue Authority missed its revenue target for 2012/2013 financial year by Shs.81 billion, although it showed a growth of 13.2% over the previous year. Part of the loss was attributed to “a shift in consumption patterns towards products with lower or zero tax rates.”
Depriving any Treasury of revenue is the number one thing we should all be striving to do.
Gotta agree with you there. This type of self-defeating policy is exactly what with bring about the Bitcoin revolution that much faster.
