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Samaritan's Purse v Commissioner of Domestic Taxes (Appeal 92 of 2017) [2021] KETAT 165 (KLR) (29 January 2021) (Judgment)

[2021] KETAT 165 (KLR) Tax Appeals Tribunal
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Court
Tax Appeals Tribunal
Case number
165
Citation
[2021] KETAT 165 (KLR)
Decided
29 January 2021
AI Summary Beta Machine-generated — may contain errors. Not legal advice.
TypeTax AppealPostureAppeal from a previous decisionCoramPATRICK LUTTA, S. •, HELEN BILA MWAI MBUTHIA, ELISHAH NJERU
Holding

The appeal is allowed, and the Objection Decision dated 18th April 2017 confirming the assessment of Kshs. 18,922,875.00 as PAYE is set aside.

Facts

Samaritan's Purse registered an NGO in Kenya and later applied for a pension scheme registration. The Pension Scheme was registered by the Retirement Benefits Authority, but the Commissioner of Domestic Taxes (CDT) later demanded PAYE for the period January 2012 to August 2015.

Issues

  1. Whether this appeal is an abuse of the process of the Tribunal in view of the judgment issued in TAT Appeal No. 82 of 2016.
  2. Whether the Appellant is liable to pay the PAYE of Kshs. 18,922,875.00 in respect of the period January 2012 to August 2015.

Reasoning

The Tribunal found that the Appellant's Pension Scheme was tax compliant and tax exempt, and the Respondent's demand for PAYE was not justified.

Outcome

The appeal is allowed.

Orders

  • The Objection Decision dated 18th April 2017 confirming the Assessment of Kshs. 18,922,875.00 as PAYE is set aside.
  • Each party to bear its costs.

Remedies

  • Set aside the Objection Decision and the assessment of Kshs. 18,922,875.00 as PAYE for the period January 2012 to August 2015.

Authorities cited

Legislation (2)
  • NGO Act
  • Kenya Revenue Authority Act
Cases cited (1)
  • TAT APPEAL No. 82 of 2016
Experimental AI summary generated by a language model, not a lawyer. It may contain errors or omissions and must not be relied on for legal decisions — the full judgment below is the authoritative source.
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