The High Court has refused to give orders halting the anticipated increase of excise stamps for a variety of items.
Justice Hedwig Ong’undi dismissed the matter filed by the Law Society of Kenya on the grounds it was done so prematurely.
“It is not wise for this court to exercise its power over this case with an unfinished legislative procedure,” Ong’undi remarked.
The judge stated that if the state implements the challenged regulations before the legislative process is completed, the Petitioner (LSK) will be free to petition the court.
The Law Society of Kenya filed the case in court terming the decision by the Commissioner General, of Kenya Revenue Authority as unconstitutional and unlawful.
It said the ‘illegal adjusted tax rates’ threaten the survival of the majority of manufacturers and distributors of consumable excisable goods.
KRA on January 17 enacted the Excise Duty (Excise Goods Management System) (Amendment) Regulations, 2023.
The adjustment if allowed would increase the stamps of Beer from Sh1.5 to Sh3 per stamp. Wines including fortified ones, spirits exceeding 10 per cent from Sh2.8 to Sh5.0 per stamp.
The adjustments will also affect bottled water, juices, cosmetics, tobacco and nicotine products.
LSK had asked the court to stop KRA from enforcing the regulations.
