Treasury proposes 5pc excise tax on human hair wigs, fake beards and nails
The National Treasury is now proposing a five per cent excise tax on human hair and other types of wigs, false eyelashes and beards.
This is according to the Finance Bill 2023 which has also proposed a five per cent excise tax on artificial nails as the government goes harder on the industry that has over the past decade grown significantly.
Other industries affected cement importers will pay a 10 per cent excise tax per kg of the product, or Sh1.50 per kg, whichever is higher.
Other areas Treasury has proposed to slap taxes on include digital assets, targeting owners of platforms that facilitate the exchange or transfer of digital assets. The assets include cryptocurrencies, token codes and numbers held in digital form and generated through cryptographic means.
“The owner of a platform or the person who facilitates the exchange or transfer of a digital asset shall deduct the digital asset tax and remit it to the Commissioner. A person who is required to deduct the digital asset tax shall, within twenty-four hours after making the deduction, remit the amount so deducted to the Commissioner together with a return of the amount of the payment, the amount of tax deducted, and such other information as the Commissioner may require,” the Bill states.
It also adds that any person who receives rental income on behalf of the owner of the premises shall deduct tax and within 24 hours remit the amount to the taxman. This cuts the period the rental income tax is paid from the 20th day of the month, as has been the case.
