Treasury proposes PAYE relief for workers earning up to Sh32,800
CS John Mbadi says the change will go to Parliament in November, raising an earlier proposed limit of Sh30,000.
Based on reporting by The Kenya Times.
Traffic on Kenyatta Avenue, Nairobi. File photo, 2025. Photo: Bahnfrend / Wikimedia Commons, CC BY-SA 4.0
Treasury Cabinet Secretary John Mbadi says the government wants to exempt workers earning Sh32,800 a month or less from PAYE income tax, up from an earlier proposed limit of Sh30,000.
Mbadi spoke on Friday in Eldoret, during a finance theme week ahead of Mashujaa Day. He said the Treasury had agreed the plan with President William Ruto and would bring the amendment to Parliament in November.
He said the aim was to recognise the sacrifices of lower-income earners and raise their take-home pay.
The change needs Parliament's approval, and the current tax rules apply until it is passed and takes effect. Mbadi did not give an estimate of what the relief would cost in lost revenue.
