Kenya | Key Highlights From The Finance Bill, 2019
The Budget Statement for the Financial Year 2019-2020 was read on 13 June 2019 by the Cabinet Secretary, Ministry of National Treasury and Planning. Consequently, on 27 June 2019, the Finance Bill 2019 (the Bill) was published and released to the public on 8 July 2019.
The Provisional Collection of Taxes and Duties Act (CAP 415, Laws of Kenya) (the PCTDA) previously granted the Cabinet Secretary powers to the extent that he could declare some tax provisions of the Finance Bill as law before going through the legislative process. It should be noted, however, that pursuant to the High Court decision in Okiya Omtatah Okoiti v The Cabinet Secretary, National Treasury and 3 others, Constitutional Petition No. 253 of 2018, the Court declared the PCTDA unconstitutional.
As such, no provisions of the Bill can come into force before it is passed by the National Assembly and assented to law by the President.
Most of the provisions of the Bill are now expected to come into force on the date of assent of the Finance Act, with a few exceptions which come into force on 1 January 2020. It is expected that the Bill will be debated by Parliament after the August 2019 recess and therefore should be passed into law shortly thereafter in September or early October 2019.
We have put together a comprehensive overview of the salient proposed changes that have been introduced by the Bill. Read the full article here.
The content of this alert is intended to be of general use only and should not be relied upon without seeking specific legal advice on any matter.