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Over 1.5 Million Low-Income Earners to Be Exempted from PAYE, Says Musambi

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-Kenya Kwanza Moves to Ease Tax Burden for Low-Income Earners

State House Events Director Boniface Musambi has announced that the Kenya Kwanza government is taking steps to ease the tax burden on hardworking Kenyans as part of ongoing economic reforms.

Speaking on the proposed legal amendments to the tax framework, Musambi said the government’s economic recovery plan is stabilising and beginning to deliver relief to citizens, particularly low-income earners.

According to the proposals, more than 1.5 million workers earning KES 30,000 and below will be exempted from paying Pay As You Earn (PAYE) tax. The move is expected to increase disposable income among low-income households and support economic growth at the grassroots level.

Additionally, over 500,000 Kenyans earning up to KES 50,000 per month are set to benefit from a reduction in PAYE, with the tax rate expected to drop from 30 percent to 25 percent.

Musambi noted that the reforms aim to cushion workers from the high cost of living while stimulating productivity and consumption across the country.

The proposed amendments are expected to be tabled in Parliament for approval, with the government expressing optimism that the changes will bring much-needed financial relief to millions of Kenyan workers.

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