People’s Liberation Party (PLP) leader Martha Karua has accused the government of reintroducing provisions from the rejected Finance Bill 2024 through the Finance Bill 2026.
Speaking on Wednesday, June 3, Karua said the proposed law mirrors earlier tax measures that were opposed by Kenyans, arguing that they would place a heavier financial burden on ordinary citizens, especially vulnerable groups.
She further claimed that the bill contains punitive provisions that were previously rejected and warned that they are being reintroduced in a different form through the current legislative process.
People’s Liberation Party (PLP) leader Martha Karua. Photo: Courtesy.
Karua also criticised the government’s spending priorities, pointing to increased allocations in the Office of the President’s budget at a time when citizens are facing rising taxes and economic pressure.
She additionally raised concerns over proposed taxation in the digital sector, including mobile money and online platforms, arguing that such costs would eventually be passed on to consumers.
Her remarks come amid increased scrutiny of the Finance Bill 2026, even as the government maintains that the proposal is aimed at strengthening revenue collection by sealing loopholes in the tax system, particularly in the digital economy and emerging sectors.
Treasury Cabinet Secretary John Mbadi recently dismissed online claims that the Finance Bill 2026 introduces new taxes on cryptocurrency, bread, digital creators, mobile money, and vehicle circulation, saying no such new levies have been proposed.
He said comparisons with the Finance Bill 2024 show both aim to raise revenue through reforms in digital and financial transactions, though the structure of the measures has changed.
Mbadi clarified that the proposed 25 per cent excise duty on mobile phones is not a new tax but a consolidation of existing charges, replacing earlier proposals such as the withdrawn eco-levy.
He also noted that both bills address mobile money taxation and financial data oversight, with adjustments targeting payment services and emerging digital assets like cryptocurrency.
The Finance Bill 2026 is currently undergoing parliamentary review, with public participation ongoing ahead of the Second Reading in the National Assembly.
