Kenya National Assembly extends 8% VAT on petroleum products for 3 more months

Kimani Kuria urges MPs to extend 8% fuel VAT as EPRA raises Nairobi petrol to KSh226.96, warning prices could rise by at least KSh15 per litre on 15 October.

Nairobi - The National Assembly has passed the Tax Laws (Amendment) Bill (National Assembly Bill No. 65 of 2026), a move that will keep the Value Added Tax on petroleum products at 8% rather than allowing it to revert to the standard 16% rate.

Leader of the Majority in the House Kimani Ichung'wah sponsored the bill, which amends the Value Added Tax Act and the Excise Duty Act.

He told the House the reduced fuel VAT rate would remain in place for a further 90 days, with National Treasury Cabinet Secretary John Mbadi being granted the authority to extend the relief by an additional three months if Middle East tensions persist.

EPRA sharply increases fuel prices for October to November period, kerosene rises by KSh 28

Source: Tuko