Kenya: Supreme Court holds Finance Act, 2023 constitutional, overturns Court of Appeal
The Supreme Court overturned a previous decision of the Court of Appeal that the entire Finance Act was unconstitutional.
The Supreme Court on October 29, 2024, overturned a previous decision of the Court of Appeal that the entire Finance Act, 2023 was constitutional due to nonadherence to prescribed legislative procedures. Read TaxNewsFlash
The case is: National Assembly & Another v Okiya Omtatah Okoiti & 55 Others
Summary
The Supreme Court held that the Court of Appeal erred in declaring the entire Finance Act unconstitutional. The court held that Parliament is not required to conduct additional public participation for amendments stemming from previous feedback, as this could hinder the passage of important bills. The court also found that the revenue estimates in the Finance Act were properly tabled before the National Assembly.
However, the court held that the amendments to the Kenya Roads Act and the Unclaimed Financial Assets Act under the Finance Act were unconstitutional because they were neither incidental nor directly related to a money bill as required under Article 113(3) and Article 114(3) of the Constitution.
Read a November 2024 report prepared by the KPMG member firm in Kenya