26/05/2026
Following consultations with SACCOs nationwide, KUSCCO formally submitted the sector’s consolidated recommendations on the Finance Bill 2026/27 to the National Assembly yesterday.
We argue that taxing internal SACCO transactions increases borrowing costs and places additional pressure on households already facing rising living costs.
KUSCCO is also advocating for:
• Expansion of the definition of “designated primary co-operative societies” under the Income Tax Act to include co-operatives whose membership comprises individual persons, groups, and corporate entities.
• Preservation of the existing legal protection that prevents the Kenya Revenue Authority (KRA) from issuing agency notices where a taxpayer has properly lodged an appeal.
• Amendment of the definition of “other fees” under the Excise Duty Act to exclude fees, charges, and commissions earned by SACCOs from their members.
• Widening of individual income tax bands and an increase in the tax-exempt threshold to ease the burden on low- and middle-income earners.
We remain committed to supporting policies that protect SACCOs and promote the sector.
Augustine Mwongela
We commit to consistently promote SACCOs through advocacy and provision of quality technical and financial products that exceed the members’ expectations.We shall comply with the statutory requirements and actively pursue continuous improvement of the Quality Management System (QMS) processes, cap...