WHAT IS BUDGET SPEECH AND WHAT IS FINANCE BILL?

What is the difference between the Budget Speech that was read today, and the Finance Bill Kenyans are agitated about?

Budget, just like the budget in your home, is how you intend to spend your money. This amount is for food, this amount is for electricity, this amount is for water, this one is for abcd. That is what Waziri was reading today. Still, the budget outlines how we (Kenya) intends to raise the money for all that. Money for healthcare will come from this source, money for crocodile belts will come from payslips, money for flying all over the world will come from Mama Mboga, money for deploying police to Haiti will come from that ambassador, et cetera. That is the Budget Speech.

Then there is the Finance Bill, by that Kimani Kuria MP. The one that they were collecting public views on. He said that the motor vehicle tax is there to stay, whether you gave your views to the contrary or not. That whole exercise was a formality basi.

Finance CS with the Briefcase carrying the Budget Speech

Anyway, the Finance Bill is the legislative proposal that details the specific changes to tax laws and other financial regulations that are needed to implement the budget statement. It is in not so many words, the sheria that empowers the Budget Speech.

Amendments to existing tax laws on fuel, introduction of new taxes for motor vehicles, adjustments to tax rates on diapers, and other fiscal measures necessary to generate the revenue required to fund the budget.

The Finance Bill committee retreated to some luxurious hotel to do their report, eat well and draw their allowances. They will bring their report to parliament on Tuesday next week for debate. The MPs will propose amendments on some clauses, vote on the clauses, and when approved, will be signed into law ianze kutumika immediately.

In summary, the budget speech outlines the government’s financial and economic plans, while the finance bill provides the detailed legislative changes needed to implement those plans. Unaget?

The budget speech says we intend to do this or that, the finance bill says we will overtax Kenyans to achieve that plan.