Kenya Revenue Authority Faces Senate Wrath Over Gaming Industry Tax Dispute

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Nyakundi Report

Newsroom 2 min read

Primary source Kenyan Digest archive

This archive report was first published on 31 July 2019.

On July 31, 2019, the Kenya Revenue Authority (KRA) faced intense scrutiny from the Senate Committee on Justice, Legal and Human Rights over its handling of a tax dispute with the gaming industry.

According to KRA Commissioner Elizabeth Meyo, the agency had identified 27 out of 72 registered betting firms that had not complied with withholding tax regulations, with a total demand of Sh61 billion.

However, the committee, chaired by Senator Samson Cheragei, accused KRA and the Betting Control and Licensing Board (BCLB) of acting against court orders by suspending operations and deporting directors of some firms.

Nakuru Senator Susan Kihika expressed her outrage, stating, 'People were deported when their issues were still in court. It is a similar case with the deportation of lawyer Miguna Miguna even after the court had made a ruling in his favour. If this is not impunity then I have no other word to call it.'

Meru Senator Mithika Linturi added, 'There is public anger on how the State has decided to mistreat their people.'

Despite KRA's defense of its position, the agency was criticized for its actions, with SportPesa's chief officer, Ronald Karauri, stating, 'It is our view that, the courts and the Tribunal having rightfully seized of the matters, should be allowed to resolve the issues expeditiously and that the Regulator and KRA should not continue to abuse their powers to intimidate the business.'

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