The government has reassured Kenyans that the 2.75% mandatory deduction to the Social Health Insurance Fund (SHIF) is legal and in line with existing health and tax laws.
In a statement released on Monday, June 23, Health Cabinet Secretary Aden Duale stated that the deduction is supported by the Tax Laws (Amendment) Act, 2024 and key Universal Health Coverage laws, including the Social Health Insurance Act, Primary Health Care Act, and Digital Health Act.
“These laws are aimed at ensuring equality, financial protection, and access to quality healthcare for all Kenyans,” said Duale.
His statement followed a High Court decision to strike out a petition filed by four doctors challenging the legality and fairness of the SHIF deductions.
The court, led by Justice Chacha Mwita, ruled that the matter is already under consideration in other ongoing cases, including one filed by Senator Okiya Omtatah, and allowing parallel petitions could lead to conflicting judgments.
The doctors had argued that the deductions violated constitutional rights to privacy and property, calling the 2.75% deduction from post-tax income a form of double taxation.
However, the court did not engage with the merits of the argument due to the case being deemed sub judice.
Currently, salaried Kenyans contribute 2.75% of their gross income, with a minimum of Ksh300 per month, remitted by employers by the 9th of every month.
