MPs clash as Finance Bill 2026 sails through Second Reading

The Kenya Kwanza House leadership, led by National Assembly Majority Leader Kimani Ichung’wah, mounted a spirited defence of the Bill, dismissing claims that it contains punitive taxes targeting Kenyans.

At the same time, opposition lawmakers held a separate media briefing, alleging that the Bill contains hidden taxes on mitumba clothing and mobile phones.

The Bill sailed through the second reading despite protests from opposition legislators.

The legislators emerged from the National Assembly chambers armed with details of the Finance Bill 2026, ready to counter concerns that the proposed law would burden Kenyans with additional taxes.

The National Assembly leadership began by dismissing claims that the Bill introduces a new tax on mitumba clothing.

"There is no taxation on mitumba. Ignore any propaganda on the increase of taxes on mitumba," stated Kimani Kuria, Chairperson of the National Assembly Finance Committee.

"This Bill is not imposing any taxation that may be harmful to Kenyans," Ichung'wah stated. 

The MPs also addressed concerns surrounding the taxation of mobile phones.

"On the issue of mobile phones, we disagree with the National Treasury on the payment of tax when a user starts to use the phone," Kuria noted. 

The leaders further cautioned Kenyans against what they termed misinformation from the opposition.

"This propaganda was started by Kalonzo Musyoka. The former Member [MP] for Mathira was the second to mislead the country on rental income tax. Every Bill we legislate has clauses. Anyone who purports something must show where it is," Ichung’wah added. 

"Msikubali kudanganywa," Kuria highlighted. 

In a swift response, opposition MPs dismissed the government's defence of the Bill and renewed their criticism of its provisions.

"It is true they want to zero-rate the issue of mitumba, but what they are not telling you is that the VAT that mitumba traders have been claiming is not there," stated Onesmus Ngogoyo, Kajiado North MP.

"The tax on mitumba is on Clause 36 of the Finance Bill 2026," stated Robert Mbui, Deputy Minority Leader in the National Assembly.

The opposition lawmakers vowed to resist the Bill during Thursday's sitting.

"William Ruto, it is enough. If they play the tricks they are playing, tukutane nje," stated Jack Wamboka, Bumula MP.

"The reason I will vote no is because the Bill is going to increase taxes on online mobile users," stated Babu Owino, Embakasi East MP.

"Reject Finance Bill, reject Finance Bill," chanted Julius Mawathe.

There was a showdown on the floor of the House during the morning sitting as pro-government legislators pushed the Bill through the second reading amid chaotic scenes.

Opposition MPs protested the process, accusing their colleagues of foul play as the legislation advanced to the next stage of consideration.