The Law Society of Kenya (LSK) has raised concerns over the implementation of the Finance Act 2026, cautioning the government that it may initiate court action if state agencies engage in administrative overreach or violate constitutional principles.

Speaking shortly after the Act came into force, LSK President Charles Kanjama stated that the society will closely monitor how the new tax measures are applied across different sectors, especially provisions affecting digital services, withholding taxes, and compliance requirements for businesses and taxpayers.

While acknowledging that the Finance Act 2026 is intended to broaden the tax base, improve revenue collection, and enhance fiscal efficiency, the LSK stressed that its implementation must remain fair, transparent, and aligned with the Constitution.

Kanjama emphasised that Kenyans should be protected from arbitrary administrative decisions that could place an unfair burden on individuals and businesses.President William Ruto signed the Finance Act into law after its approval by the National Assembly, enabling the rollout of the Sh4.82 trillion national budget for the 2026/2027 financial year.

The government maintains that the law is focused on sealing tax loopholes, strengthening compliance, and improving revenue mobilisation rather than introducing broad new taxes.However, concerns have persisted among critics regarding its potential impact on the cost of doing business and digital economic activities.

The LSK has now signalled readiness to challenge any implementation measures it considers unconstitutional, setting the stage for possible legal disputes between the legal profession and state agencies as the fiscal framework is enforced.The society has urged caution in applying the law to ensure economic fairness and respect for constitutional rights.