OK so in as much as I have loved using windows 8 and 8.1 I have come across a major flaw in the 11.2 direct X API for windows 8.1. This flaw is caused by Microsoft thinking it was a good idea to replace DirectDraw and 3D Acceleration with CPU software emulation. As a result Halo CE no longer run on windows 8.1; as of the last OS update.
The fix for this problem comes from part of Wine for Linux. To put it in perspective their are a set of DDL’s that you copy into the root directory of Halo CE/other old games that translate DirectDraw and 3D acceleration stack calls into Stack Calls for OpenGL (this by pass the DirectDraw and 3D Acceleration emulation).
You can find the fix + instructions on Steam form here: http://steamcommunity.com/app/78000/discussions/0/864977564562612847/
Be aware their is an AMD and Nvidia version so you need to use the right fix/DDL’s for your PC hardware.
Moderators please don’t edit/remove this because with out this fix Halo CE will not run on windows 8.1.