CPA Edwin Kayasi

The greatest moment when an evening hour or two nature walk with self gives the greatest sense of satisfaction and inward self assurance of the one you should listen to the most and take advise from -(that is you).

Routine lone nature walk with no work while being present with self in a deep sense of focus on self without any disruption and away from noise, Cage and societal norms.

That may be all you need time and again to recharge for those who know what it means.

Good morning.

Today's Thought

The reason you may be stuck is failure or delay in attaining what was intended to be attained at that point. Seek to know your purpose at every stage and work towards achieving it in the shortest time. It is easier when you identify the expectations at every step in your life but so frustrating when you can't even tell why you are where you are and eventually start feeling stuck .

You are not where you are by accident but there is something to be done and achieved. You will be surprised how fast you move once you attain it.

Good morning.

Finance bill 2024

The new finance bill 2024 is out.

Positive;

Allowable pension deduction being increased from Kes 20,000 to Kes 30,000 per month.

👏 👏

Compliance with ETIMS for Non VAT registered taxpayers.

Finance Act 2023

Changes introduced by Finance Act 2023 that will be implemented effective 1st January 2024:

✓Taxation of Repatriated Income for Non-residents.
The Act Introduced the taxation of repatriated income for non-residents with a permanent establishment in Kenya at a rate of 15% and reduced their Corporate Income Tax (CIT) rate to 30% from 37.5%. Effective date 01/01/2024.

✓Interest on Mortgages
Individuals to claim mortgage interest expense to a maximum of Kshs 300,000 per year incurred on money borrowed from a co-operative society.Effective date: 1st January, 2024

✓Filing of Income Tax Returns
Any expenditure or loss shall be not deductible if the invoices of the transactions are not generated from electronic tax invoicing management (e-TIMS). Effective date: 1st January, 2024

✓Corporate Income Tax on Vaccines
Introduce CIT rate of 10% for companies undertaking the manufacture of human vaccines. Effective date: 1st January, 2024

✓Rental Income
Residential Rental income tax (MRI) rate reduced from 10% to 7.5%. Effective date: 1st January, 2024

✓WHT on Immovable Property
Withholding tax on payments for use of immovable property reduced from 10% to 7.5%.
Effective date: 1st January, 2024

Merry Christmas and Happy new year 2024.

Merry Christmas.

New IFRS accounting standard effective after 1 January 2024.

Amendments to IAS 1: non-current liabilities with covenants.

On 31 October 2022 the IASB (‘the Board’) issued amendments ‘Non-current liabilities with covenants’ to IAS 1, ‘Presentation of financial statements’.

The new amendments are effective for annual reporting periods beginning on or after 1 January 2024 and override the previous amendments.

The 2022 amendments introduce additional disclosure requirements. When an entity classifies a liability arising from a loan arrangement as non-current and that liability is subject to the covenants which an entity is required to comply with within twelve months of the reporting date, the entity shall disclose information in the notes that enables users of financial statements to understand the risk that the liability could become repayable within twelve months of the reporting period, including:

(a) the carrying amount of the liability;
(b) information about the covenants;
(c) facts and circumstances, if any, that indicate the entity may have difficulty complying with the covenants. Such facts and circumstances could also include the fact that the entity would not have complied with the covenants based on its circumstances at the end of the reporting period.

The 2022 amendments will typically result in additional disclosure being required.
(PWC)

Enhancing ESG data collection in the Capital market.

Grateful to God for a nother year.

New standard for Crypto assets

Thanks Deloitte for this analysis.

FASB Issues Final Standard on Crypto Assets (December 15, 2023) This Heads Up addresses the FASB’s recently issued Accounting Standards Update (ASU) No. 2023-08, Accounting for and Disclosure of Crypto Assets. The ASU requires entities to subsequently measure certain crypto assets at fair value, with changes in fair value recorded in net income in each reporti...

New standard

Disclosure of crypto and digital Assets.

FASB Issues Final accounting Standard on some Crypto Assets

On December 13, 2023, the FASB issued ASU 2023-08,1 which addresses the accounting and disclosure requirements for crypto assets.

Here is an extract (Deloitte)

Fire award ceremony Gala dinner.

Corporate Earnings

Unga Group PLC
The company released it's full year results for the year ending 30th June 2023.

Revenue:
The revenues grew by +33.4% to 24B

Net income) Loss
Profit(Loss) dropped to kes -959.4M [FY 22: 311M]

EPS:
Earnings person share dropped to -8.41 [FY22: 2.48]

Dividends
No dividend declared.

Congratulations 👏🎉.

Growing the NSE Market.

The thought of introducing an ETF into the NSE is a welcome move and a step in the right direction. The current management needs to be commended for deliberate efforts and innovations to grow the NSE and improve trading experience.

Apart from introducing derivatives and a possible ETF(s), the NSE needs also to check on various issues that could enhance the efficiency of trading as well as liquidity in the market.Here are some of them:

✓Revamp OST Platform
The current Online share trading platform appears to be outdated and lacks necessary and relevant metrics to speak to investors.An investor needs to see details such as %age growth/decline on his portfolio- yearly/Monthly/daily etc, Dividends earned, Brief info and chart on every counter, Dividend calendar,Some creative graphical representation of ones Portfolio etc. Most of this is missing.

✓Dividend disposal Method
Most of dividends earned especially by small investors are eaten up by bank charges. The NSE can consider an arrangement where dividends earned are paid directly into the share trading account of the investor so that he decides whether to withdraw or reinvest.Most serious investors would want to reinvest and so this move would make it easy for them.

✓Dividend reinvestment Plan(DRIP)
Introducing a dividend reinvestment plan would be a great move to assist the investors in their journey to growing their portfolio and dividends. This can be introduced as an optional module.

✓Encourage More ETFS
Encourage stock brokers to create more ETFS and list them in the market. This would give investors an opportunity to choose the best ETF to invest in depending on the %age returns, Expense ratios, Dividend payment frequency, Composition of the ETF etc

During the launch of Hisa App and INGOT BROKERS partnership.

Kenyan investors can now invest and trade in:

Kenyan stocks
UK stocks
US stocks
EFT's
REITS
Money markets
Etc

Great innovation from Hisa.
Edwin Kayasi

NSE High yield Dividend ETF?

If we were to form an NSE high yield dividend ETF (Exchange Traded Fund) , Then these stocks would definitely make it to the basket of stocks in the ETF .

Williamson Tea PLC
Standard Chartered bank
Cooperative Bank
Kapchorua Tea PLC
ABSA Bank PLC
I&M Bank PLC
Diamond Trust bank
Stanbic Bank PLC
Carbacid investments PLC

These would give an average return of not less than 8%.

What do you think?

Central Depository & Settlement Corporation Limited Nairobi Securities Exchange PLC

Thanks for the good work 💯💯

Corporate Earnings

Equity bank PLC set to release Half year 2023 results on Tuesday 15th August 2023.

What are your expectations?

DTB, Coop Bank, ABSA Bank , CIC insurance and Carbacid.

In today's papers. It's all about the Finance act.

Kenya Dividend investors.

Safaricom adjusts excise duty on pricing.

Stock update

Carbacid investments PLC

This stock does not disappoint. Very unpopular but very good for those who know it. We keep accumulating this one.

Carry On
By Robert W. Service

It’s easy to fight when everything’s right,
And you’re mad with the thrill and the glory;
It’s easy to cheer when victory’s near,
And wallow in fields that are gory.
It’s a different song when everything’s wrong,
When you’re feeling infernally mortal;
When it’s ten against one, and hope there is none,
Buck up, little soldier, and chortle:

Carry on! Carry on!
There isn’t much punch in your blow.
You’re glaring and staring and hitting out blind;
You’re muddy and bloody, but never you mind.
Carry on! Carry on!
You haven’t the ghost of a show.
It’s looking like death, but while you’ve a breath,
Carry on, my son! Carry on!

And so in the strife of the battle of life
It’s easy to fight when you’re winning;
It’s easy to slave, and starve and be brave,
When the dawn of success is beginning.
But the man who can meet despair and defeat
With a cheer, there’s the man of God’s choosing;
The man who can fight to Heaven’s own height
Is the man who can fight when he’s losing.

Carry on! Carry on!
Things never were looming so black.
But show that you haven’t a cowardly streak,
And though you’re unlucky you never are weak.
Carry on! Carry on!
Brace up for another attack.
It’s looking like hell, but —you never can tell:
Carry on, old man! Carry on!

There are some who drift out in the deserts of doubt,
And some who in brutishness wallow;
There are others, I know, who in piety go
Because of a Heaven to follow.
But to labour with zest, and to give of your best,
For the sweetness and joy of the giving;
To help folks along with a hand and a song;
Why, there’s the real sunshine of living.

Carry on! Carry on!
Fight the good fight and true;
Believe in your mission, greet life with a cheer;
There’s big work to do, and that’s why you are here.
Carry on! Carry on!
Let the world be the better for you;
And at last when you die, let this be your cry:
Carry on, my soul! Carry on!

Purchase the given counters be eligible to receive their dividends by the given dates.

State the counter you are expecting dividends from in the comment section