Twist as Kenyans are set to continue paying Housing Levy until Jan 2024.
Twist as Kenyans are set to continue paying Housing levy until the start of Next year. This comes after the same high court ruled that the housing levy is unconstitutional.
The orders follow a request by the Respondents in the case, led by lawyer George Murugara, for 45 days to comply with the court ruling.
The ruling read,In those 45 days, I urge you to suspend the oppression of those particular findings in the judgement and any decree that may flow therefrom pending the filing of a formal application under the Mutunga Rules and the Court of Appeal Rules.”
“The reason is that, first, we have to make the necessary adjustments to the government procedure of taxation so that no party/arm of government is sued for contempt,” they aded.
Justices David Majanja, Lawrence Mugambi and Christine Meoli also ruled that sections 84, 72 to 78 of the Finance Act are null and void.
They ruled,”We find that the introduction of the housing levy amendment to section 84 lacks a comprehensive legal framework in violation of Article 10 of the constitution, that levy against persons in formal employment without justification is discriminatory and irrational.”
At the moment, Employers have been remitting their 1.5 percent contribution as well as a similar rate for their employees.
According to Kenya kwanza government, the housing levy was being channeled for the plan of constructing affordable homes for low-earning Kenyans.
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