The multinational companies say this will push up the cost of mobile phones by 16 per cent which could lead to lost job opportunities in the ICT sector and kill local technology innovations.
The government exempted mobile phones from paying VAT in 2009 with the aim of increasing subscriber penetration and driving down the cost of ownership so that more Kenyans could benefit from mobile technology.
The move has seen mobile phone penetration in the country increase from 49.7 per cent in
"As a general rule, increasing mobile penetration by 10 per cent yields an estimated 1.2 per cent growth in GDP across the economy," read a joint statement by the companies. They included Samsung,
Parliament this month passed the controversial bill giving tax exemptions on food and drugs. The manufacturers operating in
"The best source of government revenue comes from a highly skilled and productive workforce, rather than taxing the very productivity inputs responsible for
"The proposed tariff undermines
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