Petition filed seeking suspension of 16% VAT on cooking gas

A case has been filed at the Milimani law court seeking to have the 16 percent value added tax (VAT) on cooking gas suspended.

The petitioner, a Nairobi resident, argues that in passing the Finance Bill, 2020 in the midst of COVID-19 pandemic, the National Assembly did not engage members of the public for constructive public participation which is mandatory in the constitution.

Dindi Oscar Okumu argues that the imposition of the VAT tax will reverse the gains, made in terms of environmental conservation, besides violating Kenyan’s rights to life, food, clean environment and dignity.

“By failing to engage the public prior to passing the Bill, the National Assembly did not understand and did not take into account the enormous economic and environmental challenges the said legislation posed,” he said in court documents.

Last week President Uhuru Kenyatta approved key Bills effecting taxes including 16% value added tax to the supply of LPG gas and greater excise duty for telephone and data services which will result in higher airtime and internet costs.