IMF: VAT refund delays could be raising the cost of doing business in Kenya
Originally published by People Daily — Read the original article →
Kenya’s VAT debate may be overlooking a hidden cost to businesses: tax paid on inputs that cannot be recovered efficiently. A new IMF analysis says unrecovered value-added tax (VAT) on business inputs can become an economic distortion in emerging-market and developing economies, potentially pushing up production costs and weakening the efficiency of the tax system. […]