Tuesday, November 11, 2014

Elevated taxation hampers investment in Kisumu real estate

It has come to the stake holders’ attention of Kisumu real estate’s that these newly imposed tax by the county Government of Kisumu is really the origin of slow rate of development in Kisumu real estate’s sector. The issue has notably affected the quantity of properties put up by the local and non-public investors. Both the local and of course the foreign investors have made their voices heard whereby they’re terribly discontented on the push of high property taxation.
This move did not only hinder Kisumu County but each of the 47 counties in Kenya are affected, moreover, the case is perceived as deterrent to the business constructed in Kisumu real estate sector plus the whole country in its entirety. The recent research by the 2014 brand Kenya audits survey indicates dissatisfaction among the list of possible investors regarding the new charges and taxes regularly imposed by the County Governments.
It’s projected that these increased charges will impact the counties with growth opportunities, one of the 47 county president stated that they've only engaged the Counties in these subjects and anticipates that no more weighty taxes will be levied upon the investors to make the counties attractive regarding the business which ultimately will develop the image of the Country completely.
Evans a marketing Executive in a premier real estate in Kisumu noted that whenever the taxes on properties are high, the demand for building and developing properties in Kisumu County precinct depreciates notably.
He explained that just recently private investors desired to purchase a huge parcel to make a five star hotel in Kisumu, but after learning that there's a heavy taxation that need to be included, he opted to hold on and give it a second thought. The County Government needs to review this law and adjust the rates of the heavy taxation, because at the end of the day investors will shy off from the venture hence development will absolutely decline from the county levels.
Read more at: www.westkenyarealestate.com

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