Kenya: Stay of new affordable housing levy upheld (Court of Appeal decision)
Court of Appeal upheld decision of the High Court to stay the new 1.5% affordable housing levy on employees’ gross salaries
Court of Appeal decision
The Court of Appeal upheld the decision of the High Court to stay the new 1.5% affordable housing levy on employees’ gross salaries introduced by the Finance Act 2023 effective 1 July 2023. Read TaxNewsFlash
The High Court declared the levy unconstitutional and imposed a stay on application of the levy. The government appealed the High Court’s decision to the Court of Appeal, which has now upheld the High Court’s stay on application of the levy pending the hearing and determination of the government’s appeal.
The Court of Appeal has directed that the substantive appeal be heard expeditiously so that the issues raised in the appeal can be resolved with finality.
Read an February 2024 report [PDF 655 KB] prepared by the KPMG member firm in Kenya
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.