This archive report was first published on 10 November 2019.
As part of its renewed crackdown on tax evasion, the Kenya Revenue Authority (KRA) has issued travel bans to 29 suspected tax cheats, including 16 Kenyans and 13 foreigners, who owe the taxman over Sh9.2 billion.
According to KRA Commissioner for Investigation and Enforcement David Yego, the authority has the power to issue Departure Prohibition Orders (DPOs) under Section 45 of the Tax Procedures Act, which have been instrumental in dealing with taxpayers who are a flight risk.
Orders issued under this section have the potential to disrupt travel until outstanding taxes are paid or reasonable arrangements are made to ensure payment.
The renewed crackdown is targeting individuals and organisations that fail to disclose fully the income they have earned, misreport expenses, conceal goods, make false declarations, undervalue goods, and fail to withhold and remit taxes as required by law.
Commissioner-General Githii Mburu has stated that he is keen to ensure that all persons who are required to pay taxes do so for the good of the country.
The DPOs against the 29 were issued on diverse dates between February and November, and the authority has issued such orders against 52 Kenyans and 51 foreigners between 2017 and 2018.
Although the KRA estimates that these 29 persons owe the taxman Sh9.2 billion, the exact amount may not be known due to ongoing investigations and pending cases before the Tax Appeals Tribunals.
The 29 businesses are in diverse sectors, including alcohol and beverage, construction, mobile and computer accessories, sports tourism, manufacturing, and cooking gas distribution, which regularly account for some of the highest unpaid taxes in recent history.
