You will spend at least Sh. 350 more on cooking gas, following the introduction of the 16% value-added tax on the commodity.
Following the presidential assent yesterday, The Finance Act 2021 is now in effect.
The move now re-implicates the rise in Liquified petroleum Gas.
This levy was however delayed to July from arising concerns of the cost of living.
The new tax follows an increment on crude oil prices thus piling further pressure on LPG costs.
The 13-kilogramme cooking gas cylinder which retails at Sh. 2,000, will now retail at Sh. 2,350.
The LPG prices are not controlled, unlike other petroleum products. The new tax will fuel fears that dealers could exploit the market forces, to their advantage even as international crude prices continue to rise.