MPs to private sector: No tax incentives without proof of public good

MPs to private sector: No tax incentives without proof of public good

The legislators accused the private sector of going silent whenever Parliament is under attack over laws passed to ease the cost of doing business and help the business community prosper.

Private businesses in Kenya must now provide proof of public and economic benefit if they hope to access tax breaks, Members of Parliament have warned.

Speaking during the 8th Speaker’s Roundtable meeting in Mombasa, a flagship platform that brings together the legislature and private sector to forge consensus on how to make Kenya the best place to invest, trade and prosper, the legislators said going forward they will no longer extend tax breaks, including tax amnesty, without hard, evidence-backed data.

The legislators accused the private sector of going silent whenever Parliament is under attack over laws passed to ease the cost of doing business and help the business community prosper.

National Assembly Majority Leader Kimani Ichung’wah told the private sector that its voice has been loudly absent both when Parliament was criticised for enacting the controversial Finance Bill, 2024, and the recently assented Cybercrime (Amendment) Act, 2025.

“Some of the Bills that were contained in the Finance Bill, 2024, such as the Tax Amendments Bill, 2024, you abandoned Parliament, yet these were your Bills because they were talking about tax amnesty. We felt abandoned,” Ichung’wah told the forum.

“The private sector has completely abandoned Parliament on the Cybercrime Act, 2025, which protects businesses that are losing millions of shillings every day through hacking and computer fraud, but we have not heard anything from banks and telecommunications firms.”

Ichung’wah said the Kenya Private Sector Alliance (KEPSA) had been absent, even though the Cybercrime Act, 2025, is designed to protect businesses from SIM swaps and hacking. He warned that misinformation and disinformation about the Act could harm businesses and the wider economy.

“Where are the businesses losing millions due to hacking every day? When Parliament enacts laws to protect you, you are quiet when they are attacked through misinformation,” Ichung’wah said.

He also thanked religious institutions for speaking out on provisions in the Cybercrime (Amendment) Act, 2025, which protect the country against terrorism, religious extremism and cultism, and child pornography.

“We thank the Church for coming out forcefully on sections of the Cybercrime (Amendment) Act, 2025, that protect the country against terrorism, religious extremism and cultism, and child pornography,” he said.

The Majority Leader emphasised that the private sector’s voice carries immense weight and influence and must defend laws passed in its favour. Going forward, he said Parliament will only consider tax amnesty and incentives from the sector if they are supported by tangible evidence on how they will benefit the people.

Minority Leader Junet Mohamed warned that Parliament will no longer pass skewed Bills sponsored by the private sector aimed at driving competitors out of business.

“We cannot legislate for only a section of businesses; we must legislate for all businesses and must protect all. We can’t allow you to use Parliament to tax your competitors so that they get out of business,” Junet said.

“Taxation must be uniform; there must be transparency and equality. There must be uniformity in taxes in this country.”

He acknowledged that the private sector remains a key and integral part of the economy and its contributions cannot be ignored.

National Assembly Speaker Moses Wetang’ula and Clerk of the National Assembly Samuel Njoroge cautioned that fake news and disinformation about Bills passed by Parliament have the potential to cripple the economy.

“Three out of eight Bills that were signed into law by the President have been subjected to fake news. These are the Lands (Amendment) Act, 2025, National Police Service (Amendment) Act, and the Computer Misuse and Cybercrime (Amendment) Act, 2025,” Njoroge said.

“This country belongs to all of us, and if it flips because of fake news, it will burn with all of us.”

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