Majority of Kenyans oppose new motor vehicle tax – survey

Study said only eight per cent of respondents supported the new tax

In Summary
  • Study said 81 per cent of the respondents were opposed to the introduction of motor vehicle tax of 2.5 per cent of the value of the vehicle to be collected by the insurer.
  • On awareness on the Finance Bill, 2024, 54 per cent of the respondent are conversant with the proposed law while 46 per cent said they were not aware of it.
Imported used cars at a yard in Mombasa/
Imported used cars at a yard in Mombasa/
Image: FILE

An overwhelming majority of Kenyans are opposed to the introduction of new motor vehicle tax, a survey by Infotrak Research and Consulting shows.

The survey, which was released on Thursday, said 81 per cent of the respondents were opposed to the introduction of a motor vehicle tax of 2.5 per cent of the value of the vehicle to be collected by the insurer.

It said only eight per cent supported the tax measure while 11 per cent were not sure/didn’t know.

Further, the survey said a majority of Kenyans (83 per cent) also opposed additional levy on environment-unfriendly products such as batteries, tyres, phones and ICT equipment.

It said only six per cent supported the additional levy while 11 per cent were not sure.

The survey added that 83 per cent were against a proposal to exempt the disclosure of personal data by data controllers/processors for tax or duty assessment.

It further added that 86 per cent of Kenyans are opposed to 16 per cent VAT on financial and insurance services/transactions like Mpesa with only four per cent supporting the proposal.

On 16 per cent VAT on bread, the survey said 87 per cent opposed with only three per cent being for it.

The survey was conducted between May 23 to 29 among 1,700 respondents aged above 18 years

The margin error was +/-2.53 per cent at 95 per cent degree of confidence

Poll conducted through Computer Assisted Telephone Interviews (CATI) in all the 47 counties and eight regions of Kenya

On awareness on the Finance Bill, 2024, 54 per cent of the respondents are conversant with the proposed law while 46 per cent said they were not aware of it.

“A majority of respondents in Central region (62 per cent) are aware of the Finance Bill, 2024, unlike Eastern region (41 per cent) which scored the least in terms of awareness of the Bill,” the survey added.

It said the male gender was more aware of the Bill (59 per cent) compared to females (41 per cent).

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