We want tax relief, co-ops urge gov’t

NAIROBI-Cooperatives/SACCOs in Kenya are calling for tax relief, saying it would help them compete favourably in the market.

According to Gathungu Kahunyo, the vice chairman Githunguri Dairy Co-operative, Saccos pay high taxes, especially on mortgage facilities, they give to members compared to commercial banks.

Gathungu wants the Kenyan government to reconsider the matter and create a level playing ground so that SACCOs can thrive without having to worry about tax obligations.

“We would like to be on the same playing field as the commercial banks because we are operating like banks but when it comes to some issues we are unable to sort them out,” Gathungu said.

He pointed out that SACCOs in Kenya have no clearing house hence disadvantaging them.

GDC Sacco Chairman Joseph Mburu said that the formulation of regulations for the cooperative movement in Kenya should also involve representatives of cooperators.

“We know there are technical people in the government, we are the people on the ground and we should be incorporated during the regulations-making process,” he said.

Gitau called on the government to channel the hustler fund through SACCOs, saying that most people in the villages have accounts in SACCOs.

They were speaking during the launch of Githunguri Dairy and Community Foundation recently.

https://thecooperator.news/dont-base-your-success-on-dividends-kenyan-saccos-told/

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