Parliament has passed the taxation bill allowing the government to increase the tax free band of Pay as You Earn (Paye) from K45, 000 to K100, 000.

In June this year, Finance Minister Felix Mlusu announced the increment of the tax base while presenting the four month provisional budget, saying that the increase is a deliberate move by the government to ensure that Malawians have enough money in their pockets to purchase cheap fertilizer at K4 495 per 50kg bag. “Each person will be allowed to buy at least 2 bags,” he said

On the other hand, parliament also passed the 20% taxation on withholding tax on all winnings from betting, gambling and lotteries.