Another blow for Ruto as court rejects Finance Bill

Kenya's Court of Appeal has declared the government's 2023 Finance Bill unconstitutional, inflicting a new blow to the Government of President William Ruto, RFI reports. This year's Bill was withdrawn by Ruto after widespread protests, and the court's verdict last week was in respect of an appeal of another Bill from the High Court late last year, which largely left the Finance Bill intact, only striking out the housing levy. ‘A further declaration is hereby issued that the failure to comply with this constitutional dictate renders the entire Finance Act, 2023 unconstitutional,’ a three-judge Bench of the Court of Appeal said in a ruling. The finance Bills are presented to Parliament at the start of every financial year and are the main vehicle for the government to set out its revenue-raising measures, including tax hikes and the introduction of new levies. The 2023 version was challenged in court following a round of political opposition-led street protests that turned violent, after Ruto's government used it to double the value added tax on fuel, introduce a housing tax, and raise the top personal income tax rate, among other measures. Kenya's government pushed through a new law to allow it to continue collecting the housing tax after that ruling and that law is also being challenged in court. The government now can appeal the Court of Appeal ruling at the Supreme Court.