National Treasury Cabinet Secretary Ukur Yattani has gone after gambling, gaming, alcohol, and cigarette products as the government seeks to raise more than Sh2.6 trillion to meet the Sh3.3 trillion budget.
Yattani hits gambling, gaming and alcohol in 2022/2023 budget statement
Gambling, gaming, and alcohol addiction have become prevalent in our society - CS Ukur Yattani
According to the 2022/2023 budget estimates presented at the National Assembly, companies looking to advertise alcohol, gambling, and gaming products will have to part with a 15% excise duty on fees charged by television stations, newspapers, billboards, and radio stations.
“Advertisements for alcoholic beverages, betting and gaming contribute greatly to the promotion of these habits. To discourage the promotion of these products and activities, I propose to introduce an excise duty of 15 percent on fees charged by all television stations, print media, billboards, and radio stations for advertisements of these activities.
“Gambling, gaming and alcohol addiction, have become prevalent in our society. These habits are extremely addictive and can result in a variety of harmful repercussions, especially to the youth,” Yattani said.
More products Yattani did not mention are also expected to be hit with additional taxes of up to 10% as the government seeks more revenue.
“In the Bill (Finance bill 2022), I have also proposed to increase the specific rates of excise duty for a number of products by 10% to generate additional revenue for the Government,” he said.
Other sectors that got a hit include the boda boda and tuk-tuk industry who will now be forced to take third-party insurance for their clients, the proposal coming after increased accidents reported in the sector.
On the other hand, some sectors had reason to pop champagne after CS Yattani recommended Sh15.8 billion to the sporting and arts industry up from the Sh15 billion presented in the last financial year.
“To further support sports development and tourism recovery, I have proposed an allocation of Sh15.8 billion for the Sports, Arts and Social Development Fund,”
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