when those of lower income also have to face increased taxes for mobile money transactions?
“In order for the government to get a fair share of revenue from these financial activities and to finance critical programmes, I propose to introduce a ‘Robin Hood Tax’ of 0.05 per cent on any amounts of Sh500,000 or more transferred through banks and other financial institutions,” he said.
If I’m to transfer 1m ,I’ll break it down into 499,999.50 twice and be charged 200 for the 2 transfers and no tax , better than wiring 1m as a whole and be charged 100 as transfer fee and another 500 for tax. I’ll end up saving 400 this way
Robin hood used to take (‘rob’ ) from the rich and give to the poor. A Tax by that name is essentially to "extort " from the rich to better the poor. I accept payments in young sisters
This 0.05% is too high. It means you have to pay more than a shilling for every twenty shillings sent above 500K. At this rate, every million transacted will attract a tax of 50,000 excluding bank charges.
This is a loophole that has been deliberately introduced to make it harder to deal with money laundering. There is no way anyone will pay through wire transfer when taxes are these high. People will opt to batch payments using cash.
They do. You have done it before and you are the masses. They should have capped it at over 50m coz it appears deals za mahindi na sugar in Kenya huanzia around 100m