Mswada wa Fedha 2026 wazua mjadala huku serikali ikikanusha kuongeza kodi ya simu

追加: 2026-05-25

[00:00:05][music] [music] [music] >> On the contrary, the proposal under the Finance Bill 2026 seeks to simplify. So, simplicity that I talked about seeks to simplify the existing structure by replacing the current fragmented framework with a single 25% excise duty collected upon activation of the phone. And I have explained this before that at the moment when the phone arrives arrives at the point of entry all these levies and taxes are charged.

[00:01:35]The customs duty 25% excise duty 10%.

[00:01:39]There is VAT at the point of landing here. 16%.

[00:01:45]There is import declaration fee of 2.5% and there is 5 2% of railway development levy.

[00:01:54]All that is tax is charged when the phone arrives.

[00:01:59]Now, immediately the phone leaves the port of entry, there are other taxes because it is followed along the supply chain until it reaches the consumer or the customer.

[00:02:13]VAT will be charged at every single step.

[00:02:17]And you see the danger with that, and we have explained, is that phones that are brought and put in the store, which have not been sold, the person the vendor has already paid taxes reducing their liquidity.

[00:02:31]We are saying we are replacing that, all that complicated system, with a simple one where you bring the phone, there is no tax, there is no charges, there's no levy, but the time the phone is bought and is being activated is when you pay one single tax that is excise duty at 25%.

[00:02:54]Tell me how that makes phones more expensive than the current arrangement.

[00:02:59]So, if enacted, mobile phones will no longer be subject to 16% VAT, 2.5% import declaration fee, and 2% railway development levy under the proposed framework. The 25% import duty will also be removed upon implementation of the new tax regime, thereby simplifying the tax structure and lowering the overall domestic tax burden applicable to mobile phones.

[00:03:26]The proposal was therefore primarily conceived as a tax simplification and rationalization measure, rather than the introduction of a new tax on digital access. The National Treasury recognizes that mobile phones increasingly serve as essential tools for communication, education, finance financial access, online businesses, digital work, and youth economic participation, which explains the heightened public interest surrounding the proposal. So, I want to stop there on mobile phones. That is a clarification we can give.

[00:04:03]It is so clear. It is so flowing. It is so simple. I don't know why this issue must always be debated when we have provided clarity.

[00:04:16]I'm going to move in here and see if I can look at cut here and see if Mr.