'Don't tax Kenyans to pay for corruption,' Mudavadi tells gov't

ANC leader Musalia Mudavadi and fellow party members addresing a press conference on the 16% V.A.T on fuel. PHOTO/ERICK OMONDI

Amani National Congress (ANC) party leader Musalia Mudavadi has lashed out at the government for the recently introduced 16 percent Value Added Tax (V.A.T) on fuel saying the proceedings are meant to “pay for corruption.”

In a statement to newsrooms on Tuesday, Mudavadi noted that Kenyan citizens were among the most heavily taxed people in the world saying the national debt had tripled to Ksh.5.1 trillion in the past 6 years yet there is “very little to show of what this borrowing has been put to.”

In the statement, the National Super Alliance (NASA) co-principal cautioned the government against “uncontrolled borrowing,” further urging it to give a “a clear indication of what use the borrowed money was being put to.”

“I reiterate that the taxes are going to be used to pay for borrowings that have been stealthily stolen from public coffers by people in Government. This is sad, very sad indeed – taxing poverty to pay for stolen funds,” said Mudavadi.

The former deputy premier also noted that the new levy on petroleum products would be unnecessary if those given the responsibility to manage institutions that oversee and regulate the energy sector performed their work with integrity.

“Yet it is an open secret that appointment to these offices is largely based on being politically correct – which means being willing to play ball in the courtyard of corruption,” he added.

“You are appointed to office because you can help unscrupulous individuals get money of the public coffers.”

Mudavadi further questioned the validity of huge sums of money allocated by the government in the past towards projects such as the construction of 10 pump station tanks (allegedly worth Ksh.4.9 billion), the Kenya Pipeline Company (KPC) Line 5 (allegedly worth Ksh.48.4 billion), as well as Valve Automation Projects (allegedly worth Ksh.1.2 billion, rising to Ksh.5.1 billion) among others.

“We demand further that President Uhuru Kenyatta must unburden Kenyans of unnecessary taxation to pay for corruption,” said Mudavadi.

“He must assent to the Finance Bill (2018) that was passed in parliament last week as soon as he gets back to the country.”