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Originally published by Capital Businessbusiness
May 27, 2026
18h ago
AMFI Seeks Bad Debt Relief, VAT Exemptions in 2026 Finance Bill

NAIROBI, Kenya, May 27-The Association of Microfinance Institutions (AMFI) has urged Parliament to amend the Income Tax Act to explicitly allow lenders Kenya breaking news | Kenya news today |..
✨ Key Highlights
The Association of Microfinance Institutions (AMFI) has submitted a memorandum to the National Assembly proposing significant changes to the Finance Bill, 2026. They are seeking relief on bad debts and VAT exemptions to support financial inclusion.
- AMFI is pushing for amendments to the Income Tax Act to allow full deduction of bad debts, including principal, interest, and fees.
- The association is also proposing VAT exemptions on the sale of collateral and repossessed assets.
- AMFI wants microfinance institutions and digital credit providers recognized as financial institutions to access tax incentives, arguing their current exclusion creates a competitive disadvantage.
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