Salaried Kenyans will continue to pay the housing levy after the High Court on Tuesday suspended implementation of its own judgment that had earlier declared the tax unconstitutional.
In effect, the court orders issued Tuesday mean as government puts its house in order and lodges an appeal, Kenyans will still continue paying the housing tax.
A three-judge bench of Justices David Majanja (presiding), Christine Meoli and Lawrence Mugambi had earlier in their judgment on consolidated petitions against the Finance Act 2023 declared the housing levy unconstitutional, saying it lacked a legal basis and was discriminatory.
Kenya Revenue Authority lawyer Ochieng Gaya also sought a stay of the declarations on the unconstitutionality of the housing fund.
He argued the judgment would result in suits against the tax agency for illegally collected funds.