BY RITA MUTHONI
Lawyers in Embu have called upon the National Government to give up on the housing levy that was declared unconstitutional by the High Court of Kenya.
They claimed that the Court’s act to strike down the Finance Act 2023 indicated that the law does not meet legal basis.
The judges ruled that Section 84 of the Finance Act, which amends the Employment Act to introduce the Housing Levy, violates the principles of taxation.
In the ruling, the court noted that the levy imposed on persons in formal employment excluding other non-formal income earners without justification is discriminatory, irrational, arbitrary, and against the constitution.
According to the lawyers, the Government should consider including legal experts while receiving advice on the passing of proposed bills.
“The Court’s decision to strike down the housing levy is a significant blow to the government project. It implies that some individuals in legal systems did not advise the president as required,” said Bernard Kipkoech, a lawyer.
“It is so unfair that the mandatory Housing Levy would only benefit those with formal jobs and not the informal sector therefore, it should be eliminated,” said lawyer Muchangi Gichugu.
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