Reprieve for Kenyans as Highcourt declares Housing Levy unconstitutional
In a groundbreaking decision on Tuesday, November 28, 2023, the High Court declared the Housing Levy, introduced under the Finance Act 2023, as unconstitutional, marking a significant win for Kenyan workers. Justices David Majanja, Christine Meoli, and Lawrence Mugambi deemed the levy null and void.
The petition challenging the constitutionality of the housing levy was spearheaded by Busia Senator Okiya Omtatah. The three-judge bench echoed the concerns raised in the petition, emphasizing the lack of a comprehensive legal framework and the arbitrary nature of the levy's application.
The court's ruling not only provides reprieve for Kenyan workers but also establishes a precedent for ensuring that legislative measures align with constitutional principles.
FaidiHR: A Commitment to Compliance and Efficiency
At FaidiHR, we are dedicated to ensuring our clients remain compliant with the latest legislative changes. Over the past four months, we proactively integrated the housing levy into our system's payroll to assist businesses in adhering to the initial legal requirements. However, in response to the recent High Court ruling, which deems the housing levy unconstitutional, FaidiHR is swift to adapt.
Adapting Seamlessly to Legal Changes
As directed by the court's ruling, the housing levy will be promptly removed from our system's payroll. FaidiHR stands firm in its commitment to supporting businesses in maintaining compliance with the law. Our agile approach ensures that our clients can seamlessly navigate legislative changes, promoting efficiency and fairness in payroll management.
Conclusion: Embracing Compliance for a Fair Workplace
The High Court's declaration of the housing levy as unconstitutional underscores the importance of legal compliance and fair taxation. As FaidiHR adapts to this ruling, we reaffirm our commitment to providing businesses with a reliable and compliant payroll solution.
For our clients, rest assured that FaidiHR is dedicated to staying abreast of legislative changes and ensuring that your payroll system remains both efficient and in compliance with the law. The recent ruling has prompted us to swiftly remove the housing levy from our system, aligning with the court's decision and contributing to a fair and equitable working environment for all.