Affordable Houses: Court of Appeal halts collection of housing levy

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The government has suffered yet another blow after the Appellate Court upheld the High Court’s ruling on the unconstitutionality of the contentious housing levy which was halted by the ruling.

The High Court on Tuesday, November 28 declared the Housing Levy as unconstitutional, null and void.

While delivering its ruling, a three-judge bench led by Justice David Majanja prohibited the government from collecting and or charging it from Kenyans’ salaries.

President William Ruto commissioned the 1506-unit Pioneer Affordable Housing Project in Kapseret [Photo:PSC]

The bench found out that the government’s introduction of the Housing Levy lacked a comprehensive legal framework.

“The levy against persons in formal employment to the exclusion of other non-formal income earners without justification is discriminatory, irrational, arbitrary and against the constitution,” Justice Majanja said in the ruling.

The government had asked the Court of Appeal to suspend the judgement of the High Court that found the levy illegal as it targets a section of the population.

A bench of three judges ruled that public interest tilts in favour of not granting the order sought by the government.

“Public interest in our view tilts favour of in not granting the stay or the suspension sought. Public interest tilts in favour of awaiting the determination of the issues raised in the intended appeals,” Justices Lydia Achode, John Mativo and Mwaniki Gachoka said.

ALSO READ:Housing levy deductions continue until January

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