Parliament’s Finance and National Planning Committee rejected a move to reduce Kenya’s highest PAYE tax rate despite months of lobbying by banks, accountants, and economists to reduce the tax on workers. The Committee, chaired by Molo MP Kuria Kimani, rejected proposals to cut the top marginal rate from 35 per cent to 28-30 per cent
The Finance Bill 2026 plans to adjust excises and VATs on fuels, mobile phones, tobacco, alcohol, among other products, in order to reduce the burden in some areas while at the same time increasing the levy on others. Road Maintenance Levy Fund Act will be changed to ensure the allocation to the Annuity Fund decreases