May 23, 2024

Ruto legal advisor responds to resignation calls over housing levy directive

3 min read
Ruto legal advisor responds to resignation calls over housing levy directive

AG Justin Muturi dismisses calls for his resignation over his directive to KRA on housing levy deductions

AG Justin Muturi dismisses calls for his resignation over his directive to KRA on housing levy deductions.

Attorney General Justin Muturi has told off Saboti MP Caleb Amisi over a call to resign after his directive on the Housing Levy.

Amisi on Wednesday said the Attorney General should have resigned after cautioning the Kenya Revenue Authority (KRA) against continuing with the salary deductions to support the Affordable Housing Agenda.

“Once you disagree with the government, which is the primary consumer of your services, please resign. This government will show us wonders! We are going to witness medieval period form of government like never before,” said Amisi.

Muturi in a response to Amisi on Thursday said he cannot resign for stating what the court ruled.

“You don’t resign for stating what the court has ruled and is being implemented by the government. That’s why there is a new Bill before Parliament to address the issues pointed out by the court,” Muturi stated.

In a rejoinder, Amisi told the Attorney General that he should have written to KRA first and not the other way around.

“I believe a court subpoena is supposed to be observed and obeyed, contrary to that, it attracts severe legal punishment. Why write to them?” the ODM MP posed.

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Ruto legal advisor warns KRA over controversial housing levy deductions

KRA Commissioner-General Humphrey Wattanga had written to Muturi on February 12 seeking guidance from the AG on the government’s position on the controversial levy.

Muturi in a response letter explained that there is no legal basis supporting salary deductions to fund the Affordable Housing project.

The former Speaker of the National Assembly made it clear that the deductions were declared unconstitutional and KRA’s continued deductions were against the court’s directive.

“The upshot of this is that there is no legal basis on which the housing levy as provided in section 84 of the Finance Act can be implemented,” Muturi stated.

He added, “Therefore, our considered opinion is that as of the date of delivery of the ruling of the Court of Appeal i.e. on January 26, 2024, there is no legal provision that enables the collection and administration of the housing levy.”

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