PS Kiptoo calls on Kenyans to embrace new taxes

The government may consider implementing additional taxes through proposed amendments to close the budget gap, according to Treasury Principal Secretary Chris Kiptoo.

Speaking during an interview on NTV Tuesday morning, Kiptoo urged Kenyans to brace for "minor" adjustments to taxes if the government moves forward with this approach.

To meet the needs of the majority of Kenyans, the PS emphasized that sufficient funding is essential, which, he pointed out, could be secured through the introduction of new tax policies.

"I feel like you are asking, are you going to bring in more taxes? I think it should be legitimate. If there is a rationale to bring in a tax measure to raise this country's revenue, Kenyans should welcome," Kiptoo noted.

Kiptoo commented, "Take the demonstrators this morning, for example. You want us to listen to their concerns, but to pay them, we must find additional funds, and that requires careful balancing."

During the interview, he pointed out that the country's growing debt, which is nearing unsustainable levels, is a key reason for the increased need to raise more revenue.

He explained that one of the major challenges impacting Kenya's budget is the rising expenditure.

In response, the government has implemented strict measures to reduce spending within state agencies.

Kiptoo was compelled to address concerns raised by Kenyans, who accused the government of attempting to impose new taxes covertly.

Despite the Finance Bill 2025 lacking the expected tax increases, some members of the public have speculated that the government may be planning to introduce new taxes through amendment bills, similar to the approach taken last year.

In September of the previous year, the government presented the Tax Laws Amendment Bill, offering alternative tax solutions after President William Ruto rejected the Finance Bill 2024.

The bill, signed into law by Ruto and enforced starting December of last year, enabled the government to make adjustments to certain taxes that had been rejected in the earlier Finance Bill.

The Tax Laws Amendment Bill was introduced alongside the Tax Procedures Amendment Bill and the Business Laws Amendment Bill as part of a broader legislative reform package.

The purpose of these amendments was to broaden the tax base and tackle some of the tax-related concerns raised by Kenyans during the anti-government protests in June of the previous year.