National Assembly · Morning Sitting

Tuesday, 3 December 2024

Session Summary

Hon. Silvanus Osoro explained Clause 4’s new tax‑abandonment provision, emphasizing Gazette publication and parliamentary scrutiny as safeguards against abuse. He also outlined Clause 5’s changes to withholding VAT, including a 10 % penalty and a shift from criminal to administrative offences to improve compliance and curb corruption. The debate balanced the benefits of relief for distressed taxpayers with concerns over potential misuse of the new powers. Members debated the Tax Procedures (Amendment) Bill, emphasizing its aim to harmonise tax rules, simplify compliance for Kenyans working abroad, and extend tax amnesty. They highlighted extensive public consultation, clarified procedural ambiguities, and argued the bill will benefit both taxpayers and the Kenya Revenue Authority, urging its passage. Members debated the Tax Procedures (Amendment) Bill, focusing on extending the tax amnesty, introducing a 10% penalty for withholding agents, and standardising electronic tax invoices. Concerns were raised about delayed government payments affecting VAT compliance and the need for clear rules for remote workers’ PINs, while emphasizing the importance of public participation and simplification of tax processes.

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The Temporary Speaker (Hon. (Dr) Rachael Nyamai)

I order that the Quorum Bell be rung for 10 minutes. Hon. Members, I can confirm that we have quorum to start business. So let us proceed.

[(The Quorum Bell was rung)]

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The Temporary Speaker (Hon. (Dr) Rachael Nyamai)

The Majority Party Whip,

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Hon. Silvanus Osoro (South Mugirango, UDA)

Thank you, Hon. Temporary Speaker. I beg to lay the following Papers on the Table: Reports of the Auditor-General and Financial Statements for the year ended 30th June 2024 and the certificates therein in respect of:

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The Temporary Speaker (Hon. (Dr) Rachael Nyamai)

Thank you, the Majority Party Whip, Hon. Osoro. We have a paper to be laid by the Chairperson, Departmental Committee on Finance and National Planning. I understand that the paper has not been approved by the Speaker. So, it will wait.

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The Temporary Speaker (Hon. (Dr) Rachael Nyamai)

I call upon the Mover to move the Third Reading.

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Hon. Marianne Kitany (Aldai, UDA)

Hon. Temporary Speaker. I beg to move that the Cooperatives Bill (National Assembly Bill No.7 of 2024) be now read a Third Time. I request Hon. Gichimu Githinji to second.

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The Temporary Speaker (Hon. (Dr) Rachael Nyamai)

Hon. Gichimu. Please, can someone trace Hon. Gichimu?

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Hon. Gichimu Githinji (Gichugu, UDA)

Hon. Temporary Speaker, I second.

[(Laughter)]

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Hon. Members

Put the Question.

[(Question put and agreed to)]

[(The Bill was accordingly read a Third Time and passed)]

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Hon. Kimani Ichung’wah (Kikuyu, UDA)

Thank you, Hon. Deputy Speaker. I beg to move that the Business Laws (Amendment) Bill (National Assembly Bill No.49 of 2024) be now read a Second Time. Allow me to, first, thank the Chairpersons and Members of the Departmental Committee on Trade, Industry and Cooperatives and the Departmental Committee on Finance and National Planning. When this Bill was published, the Speaker referred some of it…

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Hon. Kimani Ichung’wah (Kikuyu, UDA)

Cooperatives considered all provisions that touch on the Kenya Accreditation Service Act, the Scrap Metal Act, the Special Economic Zones Act, the Kenya Industrial Research and Development Institute Act, and the National Electronic Single Window System Act. The Departmental Committee on Finance and National Planning considered all the other provisions. This is an omnibus Bill. It is called the Bus…

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Hon. Kimani Ichung’wah (Kikuyu, UDA)

Hon. Samuel Atandi sits on the Departmental Committee on Finance and National Planning. He is a former banker. He will tell you that the National Bank, where he used to work, was on the verge of collapsing because of capital inadequacy, mismanagement, and outright theft of public resources. Encouraging banks to merge so as to have more capital will mean that they are more likely to survive the tid…

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Hon. Deputy Speaker

Leader of the Majority Party, I hope you are aware that we are rising at 12.00 p.m. That is in less than six minutes from now.

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Hon. Kimani Ichung’wah (Kikuyu, UDA)

Yes, Hon. Deputy Speaker. That is why I am trying to move quickly. Part VIC of the current CBK Act regulates digital credit business. The definition of the term “digital credit business” creates the impression that the CBK only regulates those who lend money either on the internet, mobile phones, or computer devices. That interpretation of the Act does not cover all forms of credit, including the…

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Hon. Kimani Ichung’wah (Kikuyu, UDA)

Gakuya. As I had indicated, we will be moving to drop some of the amendments relating to the Scrap Metal Act. However, there are provisions in the Kenya Industrial Research and Development Institute Act, 2022 that establishes the Kenya Industrial Research and Development Institute (KIRDI) that is responsible to undertake research, development and innovation in industrial and allied technologies. C…

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Hon. Members

Trade! Hon. Kimani Ichung’wah (Kikuyu, UDA) ; Sorry. It is the Chair of the Departmental Committee on Trade, Industry and Cooperatives, Hon. Gakuya a.k.a Bazenga. I request him to second.

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Hon. Deputy Speaker

Hon. Gakuya.

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Hon. James Gakuya (Embakasi North, UDA)

Thank you very much, Hon. Temporary Speaker. I beg to second the Business Laws (Amendment) Bill, 2024. It is an omnibus Bill that is sponsored by the Leader of the Majority Party, Hon. Kimani Ichung’wah pursuant to the provisions of Article 118 and Standing Order No.127 of the National Assembly. The Clerk, through an advertisement in the local daily newspapers on Thursday, November 14th 2014 invit…

[(Question proposed)]

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Hon. Deputy Speaker

We are supposed to adjourn at 12.00 p.m. Hon. Marianne, you can start and if the time is up, you will continue in the afternoon.

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Hon. Marianne Kitany (Aldai, UDA)

Thank you, Hon. Deputy Speaker. I stand to support The Business Laws (Amendment) Bill (National Assembly Bill No.49 of 2024) . The amendments that are being brought in the Standards Act are going to mostly assist the manufacturers and the consumers of manufactured products. One of the requirements that has

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Hon. Marianne Kitany (Aldai, UDA)

been put in the Standards Act is that all manufacturers should ensure that the products that they put on the shelves have, for example, shelf life. That shelf life is clearly marked in the products that they are going to sell in the market. There is also a requirement in the Standards Act which requires every manufacturer to ensure that they test samples of every batch of production, and keep the…

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Hon. Deputy Speaker

Hon. Kitany, wind up in a minute. You will have a balance of eight minutes in the Afternoon Sitting.

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Hon. Marianne Kitany (Aldai, UDA)

Thank you, Hon. Deputy Speaker. The other issue that I would like to bring out is the establishment of laboratories. Every manufacturer will be required to have certified laboratories which will be used to test the products before they are released to the market. These laboratories will also have to be accredited by accreditation centers, which must be in Kenya under the Kenya National Accreditati…

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Hon. Deputy Speaker

Hon. Kitany, you will have a balance of eight minutes in the afternoon. That is why I was asking you to wind up. For the record, the Members who are due to speak in the afternoon are Hon. David Kiplagat, Member for Soy; Hon. Samuel Atandi; Hon. Dido Raso; Hon. David Mboni; and, the Member for Buuri in that order. Clerks-at-the-Table, have you noted that down? I have mentioned the top four Members…

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Hon. Deputy Speaker

Hon. Members, the time being 12.06 p.m., this House stands adjourned until this afternoon at 2.30 p.m. Please, let us all proceed to attend the Speaker’s Kamukunji. The House rose at 12.06 p.m.

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Hon. Deputy Speaker

Published by Clerk of the National Assembly Parliament Buildings Nairobi