The Tuesday of June 18, 2024, was been characterized by running battles in the streets of Nairobi.

This came as Kenyans came out to protest against punitive taxes the government of President William Ruto wants to implement in the controversial Finance Bill 2024.

The controversial bill contained shocking proposals that aimed punitively taxing almost everything including bread, sanitary pads and even baby diapers.

The heavy police presence did not deter Kenyans protesting against the taxes from taking to the streets.

The protests and a sustained public outcry has forced the government to reluctantly remove some of the taxes from the controversial Bill.

Incidentally, this was the second year in a row that the Ruto government was imposing controversial taxes on Kenyans.

The heavy taxation by the government has gone on to earn President Ruto the ‘Zakayo’ monicker, a name derived from a notorious tax collector from the Bible.

Here is the summarized list of removed tax proposals:

1). 16 per cent VAT on bread removed.

2). VAT on transportation of sugar removed.

3). VAT on financial services and foreign exchange transactions removed.

4). No increase on mobile money transfer.

5). 2.5 per cent Motor Vehicle Tax  removed.

6). Excise duty on vegetable oil removed.

7). Levies on the Housing Fund and Social Health Insurance will become income tax deductible.

List of punitive taxes government has now removed from Finance Bill 2024

8). Locally manufactured products will not attract the Eco Levy.

9). Locally manufactured products, including sanitary towels, diapers, phones, computers, tyres and motor cycles, will not attract the Eco Levy.

10). The threshold for VAT registration has been increased from Sh. 5 million to Sh. 8 million.

11). Responsibility for electronic invoicing ETIMS, recently introduced by KRA, has been receded from farmers and small businesses with a turnover of below Sh. 1 million.

12). Excise duty imposed on imported table eggs, onions and potatoes to protect local farmers.

13). Excise duty on alcoholic beverages will now be taxed on the basis of alcohol content and not volume. The higher the alcohol content the more excise duty it will attract.

14). Pension contributions exemption to increase from Sh. 20,000 per month to Sh. 30,000.