VAT in Kenya: Exploring Value Added Tax and Its Impact on Consumers and Businesses
Introduction Value Added Tax (VAT) is a crucial component of Kenya's taxation system, playing a significant role in revenue generation and economic development. Implemented in various forms across many countries, VAT is a consumption-based tax that is levied at each stage of the supply chain. In Kenya, VAT affects both consumers and businesses, influencing spending patterns, pricing strategies, and overall economic behavior. In this article, we will delve into the intricacies of VAT in Kenya, examining its impact on consumers and businesses alike. Understanding VAT Value Added Tax is a consumption tax imposed on the value added to goods and services at each stage of production or distribution. Unlike a traditional sales tax, VAT is collected at multiple points along the supply chain, ensuring that the tax burden is distributed fairly across different economic players. This includes manufacturers, wholesalers, retailers, and ultimately, consumers. VAT in Kenya In Kenya, VA...