Breaking News: Supreme Court Upholds Constitutionality of Finance Act 2023
One of the key highlights of the court’s decision was its handling of the Affordable Housing Levy, a controversial component of the Finance Act.

The Supreme Court of Kenya. Photo/Courtesy.
By Robert Mutasi
The Supreme Court of Kenya has overturned a ruling by the Court of Appeal that declared the Finance Act 2023 unconstitutional.
In a landmark judgment delivered on Tuesday, October 29, the apex court, led by Chief Justice Martha Koome, reinstated the controversial Act, paving the way for its continued implementation.
The ruling comes after months of legal battles challenging the constitutionality of the Finance Act, 2023, which introduced significant fiscal measures, including the contentious Affordable Housing Levy under Section 84.
The Court of Appeal had previously ruled that the Act violated constitutional provisions, particularly in relation to public participation, which is a key requirement in Kenya’s legislative process.
However, the seven-judge bench of the Supreme Court ruled in favor of the government, declaring that the Finance Act 2023 was lawfully enacted and remains in force.
“Public participation on the Finance Act 2023 was lawfully conducted,” the court stated.
The bench further ruled that the preliminary objection on the court’s jurisdiction was overruled, thus allowing the government to proceed with revenue collection and fiscal operations under the Act’s legislative framework.
In their ruling, the Supreme Court judges emphasized the practicality and timeliness of the public participation process.
“Bearing in mind the time-sensitive nature of a Finance Bill, it is unreasonable to require, or subject amendments intended to give effect to proposals and suggestions from a public participation exercise to another fresh round of public participation,” the court explained.
One of the key highlights of the court’s decision was its handling of the Affordable Housing Levy, a controversial component of the Finance Act.
The court upheld the Court of Appeal’s earlier finding that the matter relating to the housing levy had become moot, meaning it was no longer in dispute.
The ruling is a significant win for the government, as it allows the implementation of the Finance Act’s provisions to continue uninterrupted.
This will enable the collection of taxes and levies as outlined in the Act, which is crucial for funding government programs and addressing the fiscal deficit.
With this decision, the Finance Act 2023 remains a cornerstone of the government’s economic agenda, and the ruling is likely to have far-reaching implications on Kenya’s legislative and fiscal processes.