Tax shock for hustlers as RUTO forces jobless Kenyans to pay 1.5% of their gross income as Affordable Housing Levy


Friday, February 23, 2024 – Hustlers are in tears after President William Ruto made it mandatory for non-salaried Kenyans to pay the Affordable Housing Levy, contrary to the earlier agreement where only salaried Kenyans were targeted.

The non-salaried Kenyans will now pay 1.5 per cent of the gross income from their businesses as housing levy following the passing of the Affordable Housing Bill.

The revised Affordable Housing Bill passed by the National Assembly means gross income earned by people outside formal employment will also be taxed to support Ruto’s pet project.

The changes were necessitated to address illegality pointed out by the Constitutional Court, which cited the singling out of salaried people as discrimination amounting to a constitutional violation, in a ruling rendered on November 28.

Responding after the passage of the bill, Leader of Majority Kimani Ichung’wah said the Affordable Housing Bill was about employment creation, wealth creation, helping Kenyans to access affordable homes, creating new homeowners and therefore generating new wealth and growing the economy.

“The mama mbogas, boda boda riders, and Jua Kali artisans will now participate fully in the programme by contributing to the Levy as directed by the court,” Ichung’wah said.

“I am happy that we have a President who has chosen to do not what is politically expedient, not what is popular but what is right for this country. 

"He has chosen to do what is good for millions of our young people who have no jobs,” added the Kikuyu MP.


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