Key Highlights of the Finance Bill, 2021

The Finance Bill, 2021 (the Bill), was published on 5 May 2021 to make amendments to a raft of laws in Kenya, including the Income Tax Act (CAP 470), the Value
Added Tax Act, 2013, the Tax Procedures Act, 2015, the Miscellaneous Fees and Levies Act, 2016 and the Excise Duty Act, 2015, among others.
Most of the proposed amendments relating to income tax have an effective date of 1 January 2022 while most of the other amendments will come into force on the
date of assent, which is expected to be before 1 July 2021. In this Alert, we analyse the key tax proposals in the Bill and their potential tax impact on taxpayers.