Members of the National Assembly will Tuesday convene for a special sitting to discuss the proposal by President Uhuru Kenyatta’s to enact 8 per cent Value Added Tax (VAT) on petroleum products.
This is in place of the proposal by finance bill 2018 which proposes to suspend the 16pc VAT increase for another two years.
A show down is looming since a number of legislators seek to vote against the proposal arguing that it will burden the tax payers and raise the standards of living.
In his state of the nation address, the head of state said that failure to implement the fuel levy will adversely affect the big four agenda which include healthcare, food security, expanded manufacturing and affordable housing.
This comes even as the Jubilee Party leadership is said to have is slated urged its members into supporting President Kenyatta’s proposal.
Senate Minority Leader James Orengo has urged the National Assembly to reject President Uhuru Kenyatta’s memorandum by saying MPs should not allow themselves to be hoodwinked by the Executive at the expense of the common mwananchi.
The proposal, if approved by Parliament, will see super petrol drop from the current Sh127 to Sh118, while diesel will cost Sh107 from Sh115.
The petroleum levy came into effect on September 1,even after the amended finance Bill was passed by Parliament.