- On Tuesday, a three-judge bench declared the housing levy introduced by President William Ruto as unconstitutional.
- The three-judge bench comprising Justices Lawrence Mugambi, Christine Meoli and David Majanja was appointed by Chief Justice Martha Koome.
Thirdway Alliance party leader Ekuru Aukot has commended the judiciary for standing with Kenyans.
On Tuesday, a three-judge bench declared the housing levy introduced by President William Ruto as unconstitutional.
In a statement on his X page, Aukot said proposals that do not impact Kenyans positively must be stopped.
"Thanks to the Judiciary for standing with Kenyans. Populist political declarations must be stopped by all means possible," he said.
The Bench ruled that the introduction of the levy was discriminatory since it imposed taxes on salaried Kenyans alone and excluded those working in the informal sector.
The three-judge bench comprising Justices Lawrence Mugambi, Christine Meoli and David Majanja was appointed by Chief Justice Martha Koome.
"An order is granted prohibiting the respondent from collecting/ charging or otherwise charging on Affordable Housing Act on the basis of section 84 of the Finance Act and all prayers on the consolidated petition not specifically granted," Judge Majanja ruled.
The levy came as a result of the enactment of the Finance Act, 2023.
The government appointed the Kenya Revenue Authority (KRA) as the collection agent, and its collection was backdated to July 1, 2023.
Employers have been remitting their 1.5 per cent contribution alongside a similar rate for their employees as the Housing levy.
Busia Senator Okiya Omtatah and six other entities had moved to court seeking to stop the implementation of the Finance Act, 2023.
The ruling has been received with mixed reactions from Kenyans and leaders.
Nairobi Senator Edwin Sifuna advised Kenyans not to celebrate yet over the Housing levy ruling saying Kenyans should wait until the matter has undergone the entire hierarchy of the court system.
"On Housing Levy, you should wait till the matter clears the entire hierarchy of Courts to celebrate. Mimi ndio nawashow (I'm the one telling you)," he said.
The hierarchy of the courts provides room for the State to move to the Court of Appeal to challenge the decision and thereafter the Supreme Court.