Mukurwe-ini MP John Kaguchia has publicly announced his opposition to the proposed amendments to the Financial and Tax Legislation for 2024, which wer
Mukurwe-ini MP John Kaguchia has publicly announced his opposition to the proposed amendments to the Financial and Tax Legislation for 2024, which were recently tabled in Parliament. In a statement, Kaguchia outlined several key reasons for his dissent, emphasizing their potential negative impact on both citizens and the economy.
Among the most concerning proposals, Kaguchia highlighted the reclassification of supplies for school feeding programs from tax-exempt to taxable items. He argued that this change would place an additional financial burden on schools and hinder efforts to provide nutritious meals to students.
Kaguchia also criticized the proposed imposition of a 25% excise duty on electric transformers and parts, asserting that this move would escalate the costs of electrifying the nation, ultimately affecting access to electricity for many households.
The MP expressed alarm over the suggested increase of duty on telephone and internet data services to 20%, which he believes would disproportionately affect low-income citizens who rely on these essential services for communication and education.
Additionally, the proposed increase in the Railway Development Levy from 1.5% to 2.5% was met with strong opposition. Kaguchia warned that this hike could lead to higher costs for imports, particularly for goods that cannot be manufactured locally, thereby straining both businesses and consumers.
Kaguchia raised further concerns regarding the taxation of entry fees for national parks and reserves, questioning the logic behind taxing payments made to the government. He remarked, “What kind of reasoning is this?”
The proposed exclusion of certain helicopters from taxation on hiring, leasing, and chartering also drew Kaguchia’s ire, as he argued that such exemptions could lead to inequities in the tax system.
The MP also warned against restoring the Commissioner’s authority to provide tax relief, citing past instances of misuse and emphasizing the need for well-regulated policies instead.
Kaguchia concluded by calling for increased engagement and consultation on these proposals before they are finalized. “Since this was not done, I would ask the Finance and National Planning Committee to withdraw these proposals from Parliament and only retable them after proper consultations are conducted,” he stated.
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