Kenya Bankers Association Proposes PAYE Tax Cut
KBA proposes 5% PAYE tax cut for all workers
The Kenya Bankers Association (KBA) has proposed a 5% reduction in Pay As You Earn (PAYE) tax across all income brackets.
This move is seen as an alternative to President William Ruto's plan to exempt workers earning Ksh32,333 or less per month from paying PAYE.
KBA's Proposal
The KBA's proposal aims to provide tax relief to workers at every income level, which could boost consumer spending and drive demand for goods and services.
- A 5% PAYE tax cut could return approximately Ksh28 billion annually to workers.
- This could generate nearly Ksh42 billion in immediate economic output.
Source: Nairobi Wire. AI-assisted summary.
