Kenyan businesses broadly support a proposed tax amnesty program under the Finance Bill, 2026, but are urging lawmakers to extend deadlines and reform laws surrounding tax refunds to avoid liquidity issues.

• The proposed tax amnesty offers full relief from penalties and interest on tax liabilities accrued up to December 31, 2025, if principal amounts are cleared by December 31, 2026.
• Key stakeholders, including KEPSA (Kenya Private Sector Alliance) representing over two million businesses, and tax advisory firm Grant Thornton, have submitted proposals to the National Assembly Departmental Committee on Finance and National Planning.
• Concerns were also raised about a proposed drastic shortening of the annual income tax return filing deadline from six months to four months, and the impracticality of a one-month deadline for "Nil" returns.

Stakeholders and the National Assembly's Finance Committee are raising concerns about potential system inefficiencies at the Kenya Revenue Authority (KRA), opposing a proposal to shorten the annual tax filing deadline.

• The proposed change in the Finance Bill 2026 would move the annual tax return filing deadline from June 30 to April 30.
• Key organizations opposing the change include Kenya Private Sector Alliance (KEPSA) and tax advisory firm Grant Thornton.
• Committee Chairperson Kuria Kimani has pledged to hold the KRA accountable for improving its backend systems to support taxpayers.

Kenyan lawmakers are cautioning the National Treasury against its Sh4.82 trillion budget for the 2026/27 financial year, citing the risks posed by rising public debt and high oil prices amid global instability.

• The proposed budget is deemed potentially unsustainable due to escalating fuel prices caused by the conflict involving the United States and Israel against Iran.
• Key stakeholders include the Members of the National Assembly Committee on Finance and National Planning who fear increased debt burden.
• Noteworthy details include a reduced economic growth forecast to 4.8 per cent and a public debt already at 65.3 per cent of GDP, exceeding the statutory ceiling.