By Magdalene Wanja - Reporter
Kenya, May 11, 2026 - Fresh debate over taxation and the cost of living is expected in the coming weeks after the National Assembly of Kenya officially opened public participation on the Finance Bill 2026, inviting citizens and stakeholders to submit proposals, objections and recommendations on the government’s latest tax plans.
The exercise, which begins on Monday, May 11, comes at a politically sensitive moment, nearly two years after the Finance Bill 2024 sparked one of Kenya’s largest youth-led protest movements in recent history.
In a public notice issued by Parliament, Kenyans were encouraged to “submit written memoranda on the Finance Bill (National Assembly Bill No. 26 of 2026)” before lawmakers begin deliberations on the proposed law.
While the Bill seeks to streamline revenue collection and widen the tax base, early reactions online suggest some of the proposals could reignite public concerns over affordability, digital taxation and consumer costs.
One of the standout proposals in the Bill is a planned increase in excise duty on mobile phones and communication devices from 10 per cent to 25 per cent. The draft legislation states that the tax “will arise and become payable at the time of activation of the phone,” a shift that could alter how the levy is collected from consumers and suppliers.
The Bill also ventures deeper into the digital economy by proposing new tax measures on virtual assets and cryptocurrency-related transactions, signaling the government’s growing focus on previously under-regulated online financial activity.
Another proposal attracting attention is a planned 5 per cent presumptive tax on imported second-hand clothes and footwear, popularly known as mitumba. The move could affect thousands of small-scale traders who depend on the sector for livelihoods across the country.
Beyond consumer taxes, the Bill proposes changes to tax administration, including bringing forward the deadline for filing individual income tax returns from June 30 to April 30. It also contains measures aimed at expanding VAT exemptions on selected medical supplies, renewable energy products and agricultural inputs.
Although the Finance Bill 2026 appears less aggressive than some previous tax proposals, analysts say public trust remains fragile following the events surrounding the Finance Bill 2024.
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Last year’s protests transformed what is normally a technical budget process into a national political conversation about governance, public debt and economic inequality. Young Kenyans, many mobilised through social media platforms, accused the government of overburdening citizens with taxes while unemployment and living costs continued to rise.
At the peak of the demonstrations, protesters broke through security barriers and entered Parliament grounds in Nairobi, forcing the government to reconsider the legislation amid international attention and widespread condemnation of police brutality.
President William Ruto later declined to sign the Finance Bill 2024 into law, stating: “Listening keenly to the people of Kenya, who have said loudly that they want nothing to do with this Finance Bill, I concede.”
Despite that decision, several tax proposals from the rejected Bill later resurfaced through amendments to other laws, leaving many Kenyans wary of future finance legislation.
Political analysts say this year’s public participation process is likely to face closer scrutiny than ever before, especially from young voters, digital activists and small business owners who now view Finance Bills as directly tied to everyday economic survival.
Kenyans wishing to submit memoranda can hand-deliver their submissions to the Office of the Clerk at the Main Parliament Buildings in Nairobi or send them electronically through cna@parliament.go.ke and financecommitteena@parliament.go.ke.
The deadline for submissions is Monday, May 25, 2026, at 5:00 p.m.