Kenyans will suffer if order on Finance Bill is not set aside – KRA

Senator Okiya Omtatah and six others have challenged the Finance Act arguing that it is illegal and should be quashed.

In Summary
  • Lawyer Otiende Omollo for one of the petitioners dismissed their arguments saying that the Finance Act does not stop the government from collecting taxes.
  • Omollo further told the court that as of now the Finance Act continues to run and that the order does not stop payment of bills and salaries as alleged by the state.
The KRA headquarters at Times Tower in Nairobi
The KRA headquarters at Times Tower in Nairobi
Image: FILE

Kenya Revenue Authority now says that the public will suffer if the orders suspending the Finance Act 2023 will not be set aside by the court.

Through their lawyer, KRA says that the purpose of the petitioners filing the case is only to jeopardise revenue collections for vulnerable Kenyans.

In the case, Senator Okiya Omtatah and six others have challenged the Finance Act arguing that it is illegal and should be quashed.

Lawyer Githu Muigai representing the CS Treasury and Planning told Justice Mugure Thande that the orders issued last Friday will bring a budgetary crisis to the country.

Muigai further said the order means that no shilling can be spent by the government including paying Omtatah to sit in the senate.

He argues that the orders suspending the Finance Act have compromised the entire budget.

However, Lawyer Otiende Omollo for one of the petitioners dismissed their arguments saying that the Finance Act does not stop the government from collecting taxes.

Omollo further told the court that as of now the Finance Act continues to run and that the order does not stop payment of bills and salaries as alleged by the state.

Omtatah and Omollo have also claimed that Treasury and EPPRA have disobeyed the court order and gone ahead to implement some laws in the said Finance Act.

The case resumes today afternoon for parties to submit on the issue of extension of the orders that were issued on Friday.

On Friday, Justice Thande issued orders suspending the Finance Act pending a hearing and determination of the suit.

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