Finance Act: High Court extends orders barring implementation

By Peter Ochieng

President William Ruto's administration has another blow to content with from the Court.

The High Court on Wednesday extended orders barring the implementation of the Finance Act.

Initial orders were issued last week, following a case filed by Busia Senator Okoiti Okiyah Omtatah.

Justice Mugure Thande extended the orders by five more days.

The case comes up for hearing on Monday, 10th July, 2023.

The Finance Act, derived from the Finance Bill, 2023 increased Value Added Tax (VAT) on fuel from 8 to 16 per cent.

It also introduced a host of various new taxes, among them the 1.5 per cent housing levy.

Senator Omtatah challenged implementation of the Act, on grounds that the Senate was not involved in it's passing.

The bill was debated and passed in the National Assembly.

The first term Senator has also filed a petition against the Energy and Petroleum Regulatory Authority (EPRA).

He wants EPRA to be found in contempt of the court, for increasing fuel prices in the wake of a court order suspending implementation of the Finance Act.

Last week, EPRA increased fuel prices by over Sh10 owing to increase of VAT on petroleum products from 8 to 16 per cent.

The Senator's petition against EPRA will be mentioned, heard and determined next week.