A new report by the National Taxpayers Association (NTA) has revealed that Kenya's unfair tax system could be costing the country a staggering Sh100 billion in wealth tax. The report, dubbed 'Taxing Wealth in Kenya', suggests that taxing high net worth individuals could generate $781 million in revenue.

The report proposes splitting high net worth individuals into three groups with different tax rates based on their income levels. The first group, consisting of individuals with $1-3 million income, would pay a 1.5% annual tax, generating $171 million in taxes. The second group, with incomes of $3-100 million, would pay a 3% tax, generating $450 million, while the third group, with incomes above $100 million, would pay a 5% tax, generating $160 million.

The NTA argues that the government must expand the tax base by incorporating an array of assets, enhancing current frameworks for financial asset taxation and real and intellectual property taxes. The report also suggests that the current tax system is unfair to the poor, with those who have a monthly wage paying around 40% of their income in taxes, while the wealthy only pay a tiny percentage of their wealth.