A constitutional petition has been filed before the High Court challenging several provisions of the Finance Act 2026, arguing that the law was enacted in violation of the Constitution and threatens the rights of millions of Kenyans.
The petition, filed by advocates Kabuga Violet Njeri and Martine Kiptoo against the National Assembly, the Senate, the Attorney General, the National Treasury, KRA, and the Speaker of the National Assembly, contends that Parliament failed to conduct meaningful public participation before passing the legislation.
Key provisions under challenge include:
- A 25 per cent excise duty on mobile phones charged upon activation
- A new tax regime targeting non-resident landlords
- Expanded reporting obligations for virtual asset service providers, including mass collection and cross-border sharing of citizens' financial data
- New anti-tax avoidance measures granting KRA wider powers to determine tax liabilities without a prior hearing
- Taxation of gambling winnings on gross rather than net income
- Denial of tax deductions where suppliers fail to comply with eTIMS requirements
The petitioners argue these measures violate constitutional rights to fair administrative action (Article 47), property, privacy, equality, fair hearing, and public participation.
The application for conservatory orders was scheduled for hearing on July 20, 2026.
COPLER Foundation's LEX pillar monitors developments in fiscal legislation and their impact on constitutional rights. We believe that meaningful public participation in tax legislation is essential to democratic governance and the protection of citizens' rights.
This publication is for informational purposes and does not constitute legal advice. For legal aid or specific questions, contact our legal clinic at COPLER Center, Butere.