Treasury CS Njuguna Ndung’u Calls For Property Tax Reform » Capital News
NAIROBI, Kenya, Mar 15 – National Treasury Cabinet Secretary (CS) Njuguna Ndung’u has said that the country’s property taxes have remained unchanged since the 1970s, necessitating re-evaluation.
Speaking during the 12th African Fiscal Forum, Ndung’u suggested that by properly re-evaluating property taxes, such measures have the potential to increase taxes five times.
“We have reached the end of the road with the tax regime as presently structured and there’s a need for redesigning it,” he said.
There is a proposal to map out properties and harmonize rental income tax with corporate income tax, as outlined in MTRS 24/25-26/27.
“MTRS 24/25 – 26/27 speaks of mapping out property & harmonising rental income tax with corporate income tax,” he noted.
The current tax regime has been described as reaching its limits, prompting the need for redesigning.
It is suggested that starting with the proposals outlined in MTRS 24/25 – 26/27 could be a viable starting point for the restructuring process.