The Finance Act of 2013 of Kenya is mandating increased fees for Kenyans making money transactions, including mobile, ATM, and bank transfers, reported HumanIPO. The new levy commenced August 1, 2013, and commercial banks across Kenya are increasing customer service fees.
The new tax introduces a 10 percent increase on service fees charged by banks, and is a result of the new tax policy for mobile transactions that was introduced by the country's government. The tax is part of the government's plan to raise income to help with budget deficits.
“KBA, on behalf of its member banks, wishes to notify bank customers and the general public that the excise duty on all such service fees will be payable to the Kenya Revenue Authority,” stated the lobby.