Law Society of Kenya Moves to Stop Ruto's All New Taxes

The Law Society of Kenya has moved to court to block the new taxes contained in the Finance Act,  2023, which was heavily backed by President William Ruto.

In court papers seen by Nairobi Leo, the LSK through lawyer Noel Ngoloma Okwach is challenging the constitutionality of the whole Act.

In the case, the National Assembly, the commissioner general of Kenya revenue authority and the attorney general have been listed as respondents.

Among the taxes LSK wants to be blocked is the Housing Levy arguing that mandatory deduction for affordable housing threatens the social economic interest of Kenyans.

"We are seeking the court to issue orders prohibiting the government from implementation, further enforcing section 10 (2) (3) of the Income Tax Act as amended by Section 7 of the Finance Act 2023," the court documents read in part.

LSK further argued that the Housing Levy adds more burden on employers and employees, a move that will likely lead to unemployment adding that it is against the principle of social justice as stipulated in the constitution.

"This Court ought to safeguard the people’s right to life which is on the verge of being rendered meaningless since their opportunity to make a living is under threat by the impugned Section 7, 33 (a)and 84 of the Finance Act," LSK says. 

LSK accused the National Assembly of ignoring public views in the public participation exercise conducted when enacting what it termed as "unfair, unsustainable and illicit legislation".

"There exists no rationale whatsoever as to why the government through the National Assembly would force its citizens to contribute to a mandatory scheme in a country where a majority of its citizens are already grappling with harsh economic times due to the existence of multiple layers of taxes," the society argues.