FACTBOX-Main measures in Kenya's contentious finance bill

Kenya's government has pushed through parliament a bill that increases various taxes and introduces new ones, drawing sharp criticism from political opponents, labour unions and industry groups. The national assembly voted late on Wednesday to approve the bill, which contains measures like a doubling of fuel tax and the introduction of a 1.5% housing tax.

Kenya's government has pushed through parliament a bill that increases various taxes and introduces new ones, drawing sharp criticism from political opponents, labour unions and industry groups.

The national assembly voted late on Wednesday to approve the bill, which contains measures like a doubling of fuel tax and the introduction of a 1.5% housing tax. Here are the key provisions in the bill:

* The bill's most contentious measure is the compulsory deduction of 1.5% from every employee's monthly wages, matched by the employer, towards a National Housing Development Fund. The government says the levy will be used to build affordable houses for low-income people, offering them dignity while creating jobs for young people.

Critics say it will further erode consumers' purchasing power. * The bill doubles the value-added tax on fuel to 16%. Opponents of the bill say that will drive up retail costs of petrol and, in turn, increase prices for other goods and services.

The government says it will raise an extra 61 billion shillings ($435.71 million) from the measure. * The bill introduces a withholding tax for digital content creators and online influencers at 5%.

The government argues it needs to broaden the tax base by capturing emerging industries like online work. Opponents say it will be detrimental to the nascent digital economy. * The bill raises the top personal income rate to 35% from 30%. The measure targets those with a monthly income of more than 800,000 shillings.

It also brings a new tax band of 32.5% for those with earnings of 600,000-800,000 shillings. The opposition has called the move discriminatory and said it will hurt the economy by depressing consumer spending.

* The bill removes taxes on helicopters and aircrafts. Critics say this measure favours the wealthy, although tax experts have said it could spur tourism and air travel. ($1 = 140.0000 Kenyan shillings)