AG Muturi Advises KRA to Stop Collecting Housing Levy
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Attorney General Justin Muturi has instructed the Kenya Revenue Authority to cease the collection of the housing levy from employed Kenyans, asserting its absence of legal foundation. In correspondence addressed to KRA Commissioner General Humphrey Wattanga, the AG referenced the Court of Appeal's ruling on January 26, affirming that the High Court's declaration of the levy as unconstitutional remains valid. "The upshot of this is that there is no legal basis on which the Housing Levy as provided in section 84 of the Finance Act, can be implemented," Muturi said. He responded to a letter from Wattanga dated February 12, inquiring about the government's stance on the issue. The High Court ruled on November 28, 2023, that the Housing Levy was unlawful, citing various reasons, including its discriminatory nature towards workers in the informal sector. Despite this, a three-judge panel postponed the implementation of the orders until January 10, 2024, pending the sub...