The National Assembly has passed the Finance Bill, 2026 at the Third Reading, after a decisive vote by Members of Parliament.
The approval of the Finance Bill, 2026 follows weeks of debate and committee scrutiny over proposed tax measures affecting digital payments, virtual assets, scrap metal transactions, and changes to VAT exemptions and zero-rated supplies.
During the Third Reading, MPs endorsed the Bill despite divided views on some of its provisions.
In the Parliamentary vote held in June 18 2026, 122 MPs voted in favor of the bill against 40 opposed, with no abstentions.
The lawmakers have also passed the Appropriation Bill, 2026.
The bill will now be forwarded to the next stage, which is presidential assent, and later signed into law.
Majimbo Kalasinga Kicked Out Ahead of the Vote
Earlier in the morning, Kabuchai Member of Parliament Majimbo Kalasinga was ejected from the National Assembly by Farah Maalim, who serves as a presiding speaker in the National Assembly, before the vote on the Bill.
Also Read: Mitumba Tax, Rental Tax Among Contentious Proposals Dropped in Finance Bill 2026
In remarks made after the incident, Kalasinga claimed that his removal was intended to influence the outcome of the vote, arguing that the House leadership was aware of how members intended to vote on the Bill.
He also argued that the removal was meant to reduce opposition numbers during the critical division stage of the bill.
“Today I’ve been thrown out from the National Assembly and that must be a scheme that is going to, that is reducing the no votes of this bill because they are going to carry the division of this bill today, by end of business today. They know very well those who are against the bill and those who are for the bill. I believe, I strongly believe, but that’s the reason why I’m thrown out because you cannot just throw out a member for only up to the end of the business today,” said Kalasinga.
COFEK Moves to Court to Block Finance Bill, 2026 Tax Provisions
The Consumer Federation of Kenya (COFEK) has moved to the High Court in Milimani seeking to block several provisions of the Finance Bill, 2026, arguing that the proposed tax measures could expose consumers to higher costs, unfair taxation practices, and constitutional violations in the process of their implementation.
COFEK is seeking conservatory orders to stop enactment and implementation of key provisions in the Bill, which it says were advanced without adequate safeguards on consumer protection, privacy, public participation, and fair administrative action as required under the Constitution.
“THIS MATTER coming up on 16/6/2026 for directions on the Notice of Motion dated 15/6/2026 before Honourable Justice David Mburu. UPON CONSIDERING the said application, the supporting affidavit and the petition,” read the court order.
Also Read: 10 Finance Bill and Budget Proposals That Have Earned Praise from Kenyans
The Consumer Federation of Kenya is seeking removal of key orders and reliefs from the High Court including:
- Suspension of contested tax provisions
- Halt on digital economy taxation measures
- Stay on scrap metal tax provisions
- Suspension of virtual asset taxation measures
- Block removal of VAT exemptions and zero-rating
- Protection of consumers from cost-of-living shocks
- Enforcement of constitutional compliance
- Maintenance of status quo pending judgment
Follow our WhatsApp Channel and X Account for real-time news updates.
