Treasury Cabinet Secretary John Mbadi has addressed several claims circulating online about the Finance Bill 2026, fact-checking reports of new taxes on cryptocurrency, bread, digital content creators, mobile money access and vehicle circulation.

🇰🇪 Breaking It Down

Mbadi spoke during a press briefing on Monday, May 25 after the Treasury posted series of official infographics online on Monday, May 25, stating that the Bill does not introduce new taxes on crypto or digital assets.

He explained that the proposals relating to digital assets are aimed at addressing gaps in the emerging sector and creating tax equity comparable to traditional businesses.

“The rapid growth of digital and virtual asset transactions has created a gap within the existing legal framework due to the absence of clear reporting obligations governing such transactions. The proposal therefore seeks to apply reporting and record-keeping principles that are already common within traditional financial and commercial activities to the emerging virtual asset sector,” the CS said during a press briefing later in the morning.

📌 What You Need to Know

Mbadi also refuted claims that digital content creators would be subjected to a new 5 per cent withholding tax, saying the Bill does not introduce a new tax on digital content monetisation.

The clarifications further dismissed claims that Value Added Tax (VAT) had been introduced on bread, noting that such proposals are not included in the current Bill.

In addition, Mbadi denied reports of a reintroduced motor vehicle circulation tax, stating that the Finance Bill 2026 does not contain such a levy.

On concerns about privacy, the Treasury clarified that the Bill does not grant government access to personal mobile money transactions or phone data.

“Existing data protection and privacy laws remain fully in force. So, KRA cannot access your Mpesa account or statements,” a statement from the Treasury clarified.

As previously explained, Mbadi reiterated that the proposed 25 per cent excise duty upon phone activation is not a new charge, but rather a consolidation of existing levies into a simplified tax structure aiming to eliminate multiple layers of taxation on mobile devices.

📰 Source: Kenyans.co.ke