A ruling by the High Court that nullified 24 laws passed by the National Assembly has effectively made tax collections by the Kenya Revenue Authority (KRA) for the past 2 years illegal.
Lady justice Jairus Ngaah, Anthony Ndungu and Teresiah Matheka faulted the laws passed by the Members of the National Assembly for not consulting their Senate counterparts.
The declaration of invalidity has been suspended for 9 months to enable the National Assembly to rectify the problem.
The ruling also focused on the activities carried out by the KRA over the past financial years. Among the laws revoked was the 2018 Finance Act, which outlines the government’s tax initiatives annually.
The authority collected Ksh1.58 Trillion in their 2018/2019 financial year as revenues collected had grown by 11.3%. The revenue collected during their 2019/2020 financial year, which amounted to Ksh1.61 trillion, reached a new record despite the Covid-19 pandemic affecting the economic sector.
Nandi Senator Samson Cherargey, who once chaired the Senate Justice Commission, noted that Kenyans have the right to seek a tax refund obtained unlawfully.
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