FINALLY! PRICE OF COOKING GAS REDUCED TO THIS AMOUNT.

Members of Parliament have endorsed a proposal to amend the proposed amendment to Finance Bill 2022 to slash the Value Added Tax on LPG gas from 16 percent to 8 percent, a relief for many homes who rely on domestic cooking gas.

The National Treasury had in 2016 scrapped VAT on LPG in a bid to boost the adoption of clean cooking gas  but later in July 2021,  they reinstated it to a 16 percent standard tax rate.

The slashing of the VAT on cooking gas is contained in the Petroleum Products (Taxes and Levies) Amendment Bill, 2021 passed by the National Assembly Committee on Finance and National Planning.

“Section 5 of the Value-Added Tax Act, 2013 is amended by in the case of the supply of liquefied petroleum gas, including propane, eight percent,” Kikuyu Member of Parliament Kimani Inchungwah said in the proposals.

The Kenya Revenue of Authority had initially petitioned to maintain the 16pc VAT arguing that it would lose out on revenue.

By Capital fm