Investors’ dilemma over capital gains tax

Kenya: Confusion continues to rein in the stock market over introduction of capital gains tax (CGT). This follows a stand-off between stockbrokers and the taxman over how the tax will be administered.

While the Kenya Revenue Authority (KRA) insists stockbrokers should collect the tax, which came into effect on January 1, on behalf of their clients, the latter say the responsibility rests with individual taxpayers.