EY Raises Concerns Over Proposed VAT Amendments Impact on Kenyan Insurance Sector

• Ernst & Young (EY) has raised concerns about proposed amendments to the VAT Act, 2013 in Kenya
• The proposal aims to limit VAT exemptions to insurance and reinsurance premiums
• EY warns that this change could slow insurance uptake and increase operational costs for insurance companies
• The Kenyan insurance sector has low penetration rates, currently estimated at 3 percent of the population
• The government is seeking to scale up tax on various sectors, including betting and telephone services
• The President aims to broaden the country’s tax base to 22 percent by the end of his term

Source: capitalfm.co.ke

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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