Just a day after Treasury Cabinet Secretary John Mbadi dismissed claims of new tax proposals in the forthcoming Finance Bill 2025, fresh remarks from the National Assembly Finance Committee Chair Kimani Kuria appear to contradict his statement.
Speaking during a televised interview on Tuesday, April 8, Kuria, who is also the Molo MP, revealed that introducing additional tax measures remains a possibility, depending on the national revenue needs for the Ksh4.26 trillion 2025/26 budget.
Kuria explained that the government relies on three key revenue sources — tax collections, donor contributions, and appropriations-in-aid — to fund its expenditure. He noted that a comprehensive review of the revenue performance in the last quarter of the current financial year would determine whether existing revenue streams are adequate.
“If the projections indicate a shortfall, then additional tax proposals will be necessary to bridge the gap,” Kuria stated.
However, he clarified that if the government meets its revenue targets through current tax laws and external financing commitments, then a new finance bill may not be needed.
His comments come amid growing public concern over potential tax increases, with many Kenyans taking to social media to voice their apprehension.
Kuria acknowledged the tension between government spending demands and taxpayer resistance, describing the contrast between public hearings on budget allocations and finance proposals as “like heaven and hell.”
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Ministry of Treasury
“While the budget committee is often pressed to allocate more money for roads, healthcare, and infrastructure, the finance committee is simultaneously under pressure not to introduce new taxes,” he remarked.
This budget tug-of-war, Kuria noted, could force lawmakers to weigh cuts in the approved Budget Policy Statement — or risk burdening citizens further to meet funding demands, including the proposed Ksh49.48 billion earmarked for Parliament.
Earlier on Monday, CS Mbadi sought to assure the public that no final decision had been made on new tax measures. Addressing a meeting with the Federation of Kenya Employers, he emphasized that the Finance Bill 2025 was still under review and that media reports suggesting finalized proposals were unfounded.
“I have not signed off on any draft of the finance bill,” Mbadi asserted. “We’re still receiving and assessing input from various sectors. No official document has been forwarded to Parliament.”
Public sensitivity to tax changes remains high following last year’s Finance Bill 2024, which sparked nationwide protests, particularly among Gen Z demonstrators, who cited the rising cost of living and perceived fiscal injustice.
