Finance Bill 2025 - pdf Document Submitted to Parliament of Kenya
The Finance Bill 2025 has now been made public and a copy of the pdf version document is available for download below. This a draft bill that will go through several stages including public participation and amendments before being passed by parliament, to become a bill of law.
On Wednesday, April 30, 2025 the speaker of the national assembly communicated to parliament that he had received the draft finance bill, 2025 from cabinet which contains revenue-raising measures that will support the 2025/2026 FY Budget Estimates. The draft bill reads as follows;
The Finance Bill, 2025
A Bill for an Act of Parliament to amend the laws relating to various taxes and duties; and for matters incidental thereto. Enacted by the Parliament of Kenya, as follows-
Short title and commencement:
This Act may be cited as the Finance Act, 2025 and shall come into operation as follows:
- sections 12 and 56, on the 1st of January, 2026;
- all other sections, on 1st July, 2025.
Amendment of section 2 of the Income Tax Act:
Section 2 of the Income Tax Act is amended-
(a) in subsection (1) -
(i) in the definition of "debenture", by deleting the expression "and, for the purposes of paragraphs (d) and (e) of section 7(1) of this Act, includes any loan or loan stock, whether secured or unsecured";
(ii) in the definition of "individual retirement fund", by deleting the words "subject to the Income Tax (Retirement Benefit) Rules";
(iii) in paragraph (b) of the definition of "royalty", by adding the words "and includes the distribution of software where regular payment are made for the use of the software through the distributor" immediately after the words "support fees";
Download pdf of Kenya Finance Bill, 2025 or read it below.