President William Ruto has defended the controversial Finance Bill 2023 including proposed 3 per cent Housing Fund levey urging Members of Parliament (MPs) to unanimously pass it for Kenyans to realise tangible benefits including affordable housing.
Speaking during a thanksgiving interdenominational prayer service at the Busia Stadium yesterday, Ruto said the bill proposes tangible and achievable means of raising resources that will see his administration achieve its development agenda.
Also, the president pleaded with activist and Busia Senator Okiya Omtatah not to challenge the proposed housing levy contribution under the Finance Bill, 2023 in court.
The proposal wants employees to pay three per cent of their monthly salaries to support president Ruto’s ambitious plan to provide affordable housing to Kenyans.
But it has been met with opposition from a section of Kenyans, with some calling for the levy to be made a voluntary contribution.
Among them is Senator Omtatah, who has warned the head of state against what he calls being misled by his allies.
The Bill that is set to be debated in bicameral Parliament has proposed a raft of taxation that has rubbed the opposition the wrong way with the opposition chief Raila Odinga threatening to mobilize Kenyans to go the streets.
Raila has accused the government for crafting a law that will see Kenyans overburdened by taxes.
One of the most contentious bits in the bill is the proposed 3 per cent Housing Fund to be taxed from all salaried workers to enable the construction of affordable houses.
“The issue on housing, the former president had tried imposing the housing tax and I was among the people who went to court to fight it. The Finance Bill has so far violated the constitution in six ways if not corrected you will leave me no choice but to move to court.” Omtatah said.
Despite strong opposition from the Azimio One Kenya Coalition, the president insisted that the proposal targets the few employed Kenyans who in turn will aid in the wider scheme of creating employment for the millions of Kenyans yet to be employed.
Opposition leader Raila Odinga has threatened to mobilize Kenyans to demonstrate against the proposed bill claiming that the Kenya Kwanza administration has overburdened an already over taxed Kenyans.
Earlier this month while presiding over the groundbreaking of the Lapfund Bellevue Park Residence Project in Nairobi, the president noted that the affordable housing plan was a campaign promise he had to fulfil.
“The leaders with me during campaigns heard me saying there was a housing plan. Why would they turn their backs now? We went everywhere during campaigns and told Kenyans that there was a housing plan that would give people opportunities for employment and allow them to own homes.” The president noted.