MPs threaten mass tax cuts in pay revenge

The MP salary saga turned nasty Thursday after legislators threatened to pass laws exempting millions of Kenyans from paying income taxes.

They also said they will sack at least 21 members of constitutional commissions and slash their budgets to “help the President and his government to reduce the public wage bill and free up resources for development”.

Additionally, they said they will make laws to give themselves power to cut the salary of State officers by 57 per cent.

In a further measure to torpedo government revenues, they threatened to revise Value Added Tax “to make life bearable for Kenyans”.

Parliamentarians appeared to be acting in anger after President Uhuru Kenyatta supported the Salaries and Remuneration Commission, which set MP’s pay at ShSh532,500 under the 11th Parliament.

Members of the previous Parliament earned Sh851,000 but they were few and Parliament had only one chamber.

MPs have been fighting for the salaries to be restored to the previous level and have not been too particular about some of their methods.

In a retaliation for lack of support for their pay campaign, the MPs said they will amend the law to reduce the number of members serving in constitutional commissions to a maximum of three; they will also cut the pay of State officers by 57 per cent and exempt all Kenyans earning less than Sh50,000 from paying tax.

Majority of Kenyans earn under Sh100,000 with the bulk earning between Sh30,000 and Sh75,000. According to a government survey for the purposes of the National Hospital Insurance Fund, only 46,000 Kenyans in the public service earn more than Sh100,000 per month.

The MPs were unapologetic about their salaries and insisted that they were waiting for the Parliamentary Service Commission to prepare their payslips showing Sh851,000.

The strong measures will be brought to the House on Tuesday when the House resumes sittings, the members said.

Four MPs – Mr Jimmy Angwenyi (Kitutu Chache North, TNA), Mr John Mbadi (Suba, ODM), Mr Mithika Linturi (Igembe South, TNA) and Mr Bare Shill (Fafi, URP) — issued the threats at a news conference at Parliament Buildings. They said they were speaking on behalf of their colleagues. They added that they had the power to make law, and they will make laws that will allow them to cut the pay of every State officer. They said they will also amend the Value-Added Tax Act to “make life bearable for the ordinary citizen”.

A reality check on the threats shows that unless they amend the Constitution, they will have to live by the decision of the salaries commission. They can amend the VAT Act to reduce the tax, but that means a precipitous fall in revenues and ultimately the resources for county governments.

Two other MPs – Mwiti Irea (Central Imenti, APK) and Kimani Ngunjiri (Bahati, TNA) had also addressed journalists at Parliament Buildings and criticised President Kenyatta, the salaries commission and the Commission for the Implementation of the Constitution. They said the trio had to address Parliament, and by extension MPs, through the Parliamentary Service Commission and not through the media.

Mr Linturi claimed that “Parliament was under attack” and, therefore, MPs had to protect the dignity of the House.

He said the President, the SRC and the CIC had failed to respect the doctrine of separation of powers when they interpreted the Constitution and returned the verdict that the MPs’ resolution quashing the legal notices setting their pay at Sh532,500 was “inconsequential”.

“The doctrine of separation of powers must be understood and respected by every Kenyan. Parliament makes laws and those laws, once enacted, are binding. The Judiciary interprets laws. If the Judiciary has not found any law to be unconstitutional, that law is binding,” said Mr Linturi.

“Spending taxpayers money by putting adverts in the media purporting to interpret the Constitution is not the job of the CIC,” said Mr Linturi. But then, the Constitution directs that the CIC keeps an eye on everything that goes on regarding the implementation of the Constitution.