Five‑Day Public Consultation Launched on Proposed 8% Fuel VAT Amendment

Kenyan residents have until 5 pm on 13 October to submit comments on a bill that would lower fuel VAT to 8%, with details on submission methods and related tax changes.

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The National Assembly has opened a five‑day public consultation on the Tax Laws (Amendment) Bill, 2026, which seeks to reduce the value‑added tax on petroleum products to 8 percent.

The notice, signed by National Assembly Clerk David Njoroge, sets the deadline for comments at 5 pm on Tuesday, 13 October 2026.

The amendment is sponsored by Majority Leader Kimani Ichung’wah and would amend both the VAT Act and the Excise Duty Act, affecting fuel taxation and the method for calculating excise duty on tiles.

The proposed 8 percent rate follows earlier reductions – from 16 percent to 13 percent in April 2026 and then to 8 percent on 16 April – intended to cushion households against rising global oil prices linked to the Iran war.

During the April 2026 pricing review, fuel import costs rose sharply, pushing petrol up 16 percent and diesel up 24 percent before a modest decline.

The Energy and Petroleum Regulatory Authority reported that the April‑May VAT cut from 13 percent to 8 percent lowered pump prices by Ksh9.37 per litre for petrol and Ksh10.21 for diesel.

President William Ruto announced a commitment of Ksh28 billion for fuel‑price stabilisation and tax relief across the April‑May and May‑June pricing cycles.

Comments can be emailed to cna@parliament.go.ke or delivered in person to the Office of the Clerk at the Main Parliament Building in Nairobi.

The proposed tax changes have not yet taken effect; they remain subject to parliamentary consideration, with a committee expected to review public submissions before reporting back to the House.