Governors reject Treasury's bid to regulate revenue collection by counties

On Tuesday, the governor revealed that the CoG Finance Committee appeared before the Senate to deliberate on the Additional Allocation Bill, County Government Bill 2023, and the PFMA 2023

"Our position is very clear, we totally reject the proposal of forming a committee chaired by the Treasury to approve taxes and levies proposed by counties," he said.

The County Government Raising Revenue Bill sponsored by Kikuyu MP Kimani Ichungwa proposes that a county government may engage the Kenya Revenue Authority (KRA) or any other designated person as the revenue-collecting agent in accordance with section 160 of the Public Finance Management Act.

Waivers and variations

"Any county tax or any revenue-raising measures including waivers and variations imposed by county governments prior to commencement of this Act shall be deemed to have been imposed, waived or varied in accordance with this Act," reads the Bill in part.

The proposed law further provides that where the national and county governments fail to agree on a proposed imposition or revision of a tax, fee or charge, they shall be guided by the provisions of the Intergovernmental Relations Act on resolution of disputes.