Treasury Blasts Kalonzo for ‘Dangerous Lies’ and Fearmongering Over Finance Bill

Treasury Cabinet Secretary John Mbadi has dismissed claims by Wiper leader Kalonzo Musyoka that the Finance Bill, 2026 seeks to impose annual land rent on freehold land, accusing him of spreading misinformation and politicising the proposed tax measures.
Speaking at the National Treasury Buildings while highlighting key proposals in the Finance Bill, Mbadi said information circulating online had distorted the contents of the Bill and misled the public on its intent.
The CS challenged critics to point out specific clauses they consider punitive, maintaining that the allegations levelled against the Bill were not supported by its provisions.
“I am the one who drafted and submitted the Finance Bill, and I keep asking myself which punitive tax measures people are talking about because I have not seen them,” Mbadi said.
He added that he had reviewed the Bill afresh to confirm whether any contentious provisions had been overlooked but found no basis for the claims being made.
“So, I am left wondering what exactly is happening because people keep talking about punitive taxes, yet when pressed for details, they fail to point them out. It raises the question whether the Finance Bill, 2026 is being politicised,” he said.
Mbadi was responding to remarks made by Kalonzo during a church service on Sunday, where the Wiper leader claimed the Bill intended to convert freehold land into leasehold tenure, effectively forcing landowners to pay annual rent.
Kalonzo argued that the proposal would affect families that inherited land from their forefathers as well as communities occupying ancestral land.
“So now your grandchildren will be paying rent because leasehold means you pay rent. This is what this administration wants to introduce and that is why we are saying reject, reject, reject,” Kalonzo said.
However, Mbadi dismissed the allegations, saying the Finance Bill contains 57 clauses, none of which touches on land ownership, leasehold conversion or taxation on freehold land.
Treasury Principal Secretary Chris Kiptoo said the National Treasury remains committed to transparency, public participation and constructive engagement on fiscal policy matters in line with the constitutional legislative process.
“Today, under the leadership of CS John Mbadi, we issued clarifications on certain tax proposals contained in the Finance Bill, 2026 following sustained public debate and media commentary,” Kiptoo said.
He added that the clarifications were aimed at separating the current proposals from earlier withdrawn measures and providing the public with accurate context on the intention of the Finance Bill, 2026.
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