A section of North Rift content creators has rejected a proposed 15 per cent tax on their earnings.
The proposals are contained in the controversial Finance Bill.
According to Eldoret-based Gospel singer and producer William Getumbe, the government should first put in place structures to improve the sector before thinking of taxing them.
Getumbe says content creators are not making money as many might perceive.
“What the government needs to look into is structures that will enable content creators to earn more money,” the singer said.
“You cannot tax what is not there,” he added.
The gospel singer and producer noted that it is only when the Kenyan entertainment industry reaches the level of Nigerian can there be taxes on content creators’ earnings.
Royalties
Among the issues that he wants to be fixed is sealing loopholes that have allowed institutions mandated to take care of content creators to misuse royalties they collect.
“Why tax content creators when the Music Copyright Society (MCSK) is losing billions and millions of money,” he noted.
Musicians have been up in arms over the amount of money that they receive annually as royalties.
According to Getumbe, he was paid a paltry Ksh637 this year.
“Taxing content creators does not help at this moment. At a particular time when structures have been laid and people can earn, that’s the time you can now tax,” the singer-cum-producer said.
He also called for better structures at the MCSK, Kenya Copyright Board (KECOBO) and Ministry of Sports and Culture before the government can think of tax.
Content creators from across the country had also expressed reservations about the proposal that is part of the proposed Digital Tax.
However, there are reports that the National Assembly Committee on Finance has amended the proposal to have the tax on content creators lowered to 5 per cent.
