The cost of bread, milk, cream, cooking gas, fuel, mosquito nets, vaccines and a host of medical products is expected to shoot up in an ironic twist of a government giving from one hand as it takes with the other following the introduction of 2020 Amendment Bill.
The amendments also include excise duty, fees and other charges in computing the taxable value for fuel.
The bill introduces Value Added Tax on Liquefied Petroleum Gas (LPG).
The promise to increase the cost of fuel and LPG negates the reduction of VAT from 16 to 14 per cent.
And at a time tourism is hurting the most, government technocrats who drafted the bill and forwarded it to the National Assembly want the industry slapped with an even bigger tax burden.
The proposed law wants to tax goods for direct and exclusive use for the construction of tourism facilities, recreational parks of 50 acres or more, convention and conference facilities previously exempted from VAT.