UN report shows Kenya’s jobs crisis the worst in region

Edward Wanjala said:

"Likely" is opinionated it doesn't justify the course. That is why in Kenya, the informal sector is much more paying than formal

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So you're happy with millions of Kenyans living the life of jua kali, where they don't pay tax, they're activity are not regulate and they can't actually plan for the future. Kwanini wenzetu wa Ulaya wanaendela, is because they regulate everything, they stay on top of every statistics, they make sure everyone pay their fair share, and also earn the right amount. Wewe hapa una preach that informal sector is what African youth should focus on. Were is security on that?

Mwanzi1 said:

So you're happy with millions of Kenyans living the life of jua kali, where they don't pay tax, they're activity are not regulate and they can't actually plan for the future. Kwanini wenzetu wa Ulaya wanaendela, is because they regulate everything, they stay on top of every statistics, they make sure everyone pay their fair share, and also earn the right amount. Wewe hapa una preach that informal sector is what African youth should focus on. Were is security on that?

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Mwanzi, may be you don't understand what informal sector is, it doesn't mean there is no planning and paying tax, in fact that is at a larger extend private sector

Mwanzi1 said:

So you're happy with millions of Kenyans living the life of jua kali, where they don't pay tax, they're activity are not regulate and they can't actually plan for the future. Kwanini wenzetu wa Ulaya wanaendela, is because they regulate everything, they stay on top of every statistics, they make sure everyone pay their fair share, and also earn the right amount. Wewe hapa una preach that informal sector is what African youth should focus on. Were is security on that?

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Americans and other developed countries were not always like this. Actually, countries with a high number of entrepreneurs ended up becoming rich.

Kenya is at the early stages of that. I can tell you for free. In the next 10 years, most millionaires in Kenya will have emerged from these informal employment than from offices in Nairobi.
They may not pay taxes now, but in a few years some of them will be the highest tax payers in Kenya.

It's simple, countries with most entrepreneurial individuals rule the world.
Look at US.
Look at Nigeria in Africa.
If Somalia did not go to war, I believe by now they would be probably the richest in East Africa. Those guys know how to hustle.

Edward Wanjala said:

Mwanzi, may be you don't understand what informal sector is, it doesn't mean there is no planning and paying tax, in fact that is at a larger extend private sector

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kennedy0000 said:

Americans and other developed countries were not always like this. Actually, countries with a high number of entrepreneurs ended up becoming rich.

Kenya is at the early stages of that. I can tell you for free. In the next 10 years, most millionaires in Kenya will have emerged from these informal employment than from offices in Nairobi.
They may not pay taxes now, but in a few years some of them will be the highest tax payers in Kenya.

It's simple, countries with most entrepreneurial individuals rule the world.
Look at US.
Look at Nigeria in Africa.
If Somalia did not go to war, I believe by now they would be probably the richest in East Africa. Those guys know how to hustle.

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Wote wawili mnachamganya mambo, informal sector is not a private sector. A person in private sector is regulated by one or more gov. organization. Any one engaging themselves on an informal activities e.g unlicenced business like kuuza maandazi that person (A) doesn't pay tax, (B) no one knows if mandazi are safe for human consumption because that person was not officially licensed by appropriate health organization

Kama mtu amemaliza university akaamua kufungua hardware store at near Kawamgware, but he obtain all necessary documentations, that person sio informal sector, is part of private sector. But if you finish university and you decided to go and fix cars (unlicensed), and you managed to make ends meet but your not paying taxed, Mr. Rotich will not be able to know how much money you make in a month or the work you curry is safe to you or anyone around you, and on top all that no one will protect you in case of any eventually. Huyo mtu ni part of informal sector na ana vunja sheria zote za nchi.

Mwanzi1 said:

Wote wawili mnachamganya mambo, informal sector is not a private sector. A person in private sector is regulated by one or more gov. organization. Any one engaging themselves on an informal activities e.g unlicenced business like kuuza maandazi that person (A) doesn't pay tax, (B) no one knows if mandazi are safe for human consumption because that person was not officially licensed by appropriate health organization

Kama mtu amemaliza university akaamua kufungua hardware store at near Kawamgware, but he obtain all necessary documentations, that person sio informal sector, is part of private sector. But if you finish university and you decided to go and fix cars (unlicensed), and you managed to make ends meet but your not paying taxed, Mr. Rotich will not be able to know how much money you make in a month or the work you curry is safe to you or anyone around you, and on top all that no one will protect you in case of any eventually. Huyo mtu ni part of informal sector na ana vunja sheria zote za nchi.

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If that is the definition them in reality Kenya should be USD 150B GDP!!!

Mwanzi1 said:

Wote wawili mnachamganya mambo, informal sector is not a private sector. A person in private sector is regulated by one or more gov. organization. Any one engaging themselves on an informal activities e.g unlicenced business like kuuza maandazi that person (A) doesn't pay tax, (B) no one knows if mandazi are safe for human consumption because that person was not officially licensed by appropriate health organization

Kama mtu amemaliza university akaamua kufungua hardware store at near Kawamgware, but he obtain all necessary documentations, that person sio informal sector, is part of private sector. But if you finish university and you decided to go and fix cars (unlicensed), and you managed to make ends meet but your not paying taxed, Mr. Rotich will not be able to know how much money you make in a month or the work you curry is safe to you or anyone around you, and on top all that no one will protect you in case of any eventually. Huyo mtu ni part of informal sector na ana vunja sheria zote za nchi.

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You're not get the point. There are so many informal businesspeople in Kenya ambao hawalipi ushuru wala kutambulika na serikali.
Like the ones you've mentioned... wanaouza maandazi, mayai, smokie na kadhalika mtaani, mechanics etc. There are also many other 'unscrupulous' businessmen who have even employed other people, but don't have licenses and avoid paying tax.

Some of these are very entrepreneurial and in a few years their businesses will have expanded to a point where they can no longer avoid paying taxes.
Ndio nikakwambia most new millionaires in 10 years will be such guys and not those sitting in offices somewhere in Nairobi.
They may be forced to go to the streets by circumstances and not by their own desire. But at the end of the day, countries with most entrepreneurs end up doming world trade.

Edward Wanjala said:

If that is the definition them in reality Kenya should be USD 150B GDP!!!

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That's why I was surprise to read that your happy to have huge number of people engaging in an informal sector, that is money going to waste. Wenzenu tumeanza to make sure everyone has tax ID number, hata kama you don't make enough to be tax but at least your activities will be known.

Mwanzi1 said:

That's why I was surprise to read that your happy to have huge number of people engaging in an informal sector, that is money going to waste. Wenzenu tumeanza to make sure everyone has tax ID number, hata kama you don't make enough to be tax but at least your activities will be known.

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But it depends on your form of Tax collection, i don't think their is someone in Kenya who don't pay tax, direct or indirectly, that is why Kenya collects taxes more than the rest of East Africa combined

kennedy0000 said:

You're not get the point. There are so many informal businesspeople in Kenya ambao hawalipi ushuru wala kutambulika na serikali.
Like the ones you've mentioned... wanaouza maandazi, mayai, smokie na kadhalika mtaani, mechanics etc. There are also many other 'unscrupulous' businessmen who have even employed other people, but don't have licenses and avoid paying tax.

Some of these are very entrepreneurial and in a few years their businesses will have expanded to a point where they can no longer avoid paying taxes.
Ndio nikakwambia most new millionaires in 10 years will be such guys and not those sitting in offices somewhere in Nairobi.
They may be forced to go to the streets by circumstances and not by their own desire. But at the end of the day, countries with most entrepreneurs end up doming world trade.

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I can understand what your saying, but is that the way to run the country? where someone has to hide their activity just avoid paying tax, it reach the point you're employing other people this means you're business is doing well. Halafu the same people will be the first to complain if there local hospital has no running water or pain killer medication.

Edward Wanjala said:

But it depends on your form of Tax collection, i don't think their is someone in Kenya who don't pay tax, direct or indirectly, that is why Kenya collects taxes more than the rest of East Africa combined

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I agree Tanzania tulikuwa nyuma sana on tax collection, WB wametuambia sana and pointing to the areas which we where losing money. But the end is near, one if first trips Magufuli made was to walked to the ministry of finance and made sure wanamuelewa. At the moment we're tightening most of loopholes. Each and every one of us are encouraged to have TIN number hata kama you don't earn enough to be taxed which is equivalent of $1800 a year, lakini authority they'll know where you are and what you do.