Treasury Cabinet Secretary Henry Rotich says the proposed Sh20 excise duty for every 1Kg of sugar confectionery will reduce your sweet tooth, hence save you from lifestyle diseases such as diabetes and counter rising obesity levels.
“You’re complaining about this tax while the country is spending more on obesity. That was the rationale we used when we decided to control the problem through taxation while also increasing government’s revenue,” Rotich told the National Assembly Finance Committee.
Apart from chocolates, sweets, candied nuts, chewing gum and bubble gum will also be affected by the confectionary excise duty.
The sweet tooth tax is one of the tax proposals contained in a memo sent by President Uhuru Kenyatta to the National assembly as part of raising revenue.
Rotich said failure to pass the tax proposals will adversely affect the revenues collected, “making it inconsistent with the approval fiscal framework and provisions of the Division of Revenue Act, 2018.”
A 50 gram Snickers single chocolate bar costs about Sh120, while an 80 gram Cadbury chocolate bar costs Sh160.
Other tax recommendations include an 8pc VAT on petroleum products, motor vehicle duty of between 20 and 30pc, and an increase in duty on mobile and internet data services from 10pc to 15pc.