The government has moved to defend the proposed Finance Bill 2026 amid growing public debate, accusing some opposition leaders of spreading false information about the planned tax measures for political reasons.
Treasury Cabinet Secretary John Mbadi on Tuesday toured electronic shops within Nairobi’s Central Business District where he held discussions with traders and sought to explain some of the proposals contained in the bill, particularly the planned excise duty on mobile phones.
The CS said sections of the public had misunderstood the proposed tax changes after misleading interpretations circulated online and in political forums.
“Mbadi amependekeza kwa hii Finance Bill hii simu yako unaleta na Ksh.1,000 unaweka bila ushuru. Ile siku unauza ndio ushuru inaingilia…” said Mbadi while addressing traders during the visit.
Later, while speaking at a public baraza held at Jeevanjee Gardens, Mbadi accused some opposition politicians of deliberately misrepresenting the contents of the Finance Bill in a bid to create fear among Kenyans.
“Ni ushuru moja inakatwa, hizi zingine zote haziko. Ni 25 per cent pekee. Sasa watu wengine wanasoma kwa haraka wanaona excise duty inatoka from 10 per cent inaenda 25 per cent,” Mbadi said.
The Finance Bill 2026 proposes a 25 per cent excise duty on mobile phones activated in Kenya, a proposal that has generated mixed reactions from consumers, traders and political leaders.
As debate over the bill intensified, Members of Parliament allied to the Kenya Kwanza administration also came out to defend the proposals, arguing that some leaders were drawing false comparisons between the current bill and the controversial Finance Bill 2024.
National Assembly Majority Leader Kimani Ichung’wah urged Kenyans to verify information before reacting to claims circulating on social media.
“Kenyans should not believe the disinformation and propaganda on social media,” Ichung’wah said.
National Assembly Minority Leader Junet Mohamed also weighed in on the matter, saying some critics were discussing clauses that do not appear in the bill.
“There is serious misinformation going on around it. It is very important to tell Kenyans the truth. They are discussing clauses that are not in the Finance Bill,” Junet said.
Tharaka MP George Murugara called on government officials to engage the public more actively to improve understanding of the proposals.
“Let us take time to read and understand the Finance Bill. The CSs should go out and inform Kenyans to know what is in the Finance Bill,” he said.
At the same time, Prime Cabinet Secretary Musalia Mudavadi dismissed claims that the bill seeks to introduce taxes on leasehold and freehold land ownership.
“Sasa wewe mwanasiasa unataka Wakenya waende kwa streets wapigwe risasi kwa kudanganywa kwamba kuna mambo kama leasehold…” Mudavadi said during an event in Murang’a County.
The National Treasury is seeking to raise Ksh.3.533 trillion in revenue for the 2026/2027 financial year through measures aimed at expanding the tax base and improving digital tax compliance systems.
