Sirikwa Eldoret Hotel Limited v Commissioner of Domestic Taxes (Tax Appeal 408 of 2019) [2021] KETAT 172 (KLR) (25 June 2021) (Judgment)
- Court
- Tax Appeals Tribunal
- Case number
- 172
- Citation
- [2021] KETAT 172 (KLR)
- Decided
- 25 June 2021
The Appeal is dismissed.
Facts
The Respondent issued an Agency Notice demanding Kshs. 18,251,615.00 from the Appellant, who had previously been ordered to pay this amount in a High Court case. The Appellant appealed the decision to the Court of Appeal, which upheld the High Court's decision that there was a transfer of tax liability from Hotel Sirikwa Limited to Sirikwa Eldoret Hotel Limited.
Issues
- Whether the Tribunal has jurisdiction to hear and determine the matter.
- Whether the Respondent is legally justified in demanding the tax liability of Kshs. 18,304,263.00 from the Appellant.
Reasoning
The Tribunal found that the Respondent had jurisdiction to issue the Agency Notice and that the Respondent was legally justified in demanding the tax liability from the Appellant. The Appellant's appeal was dismissed as the High Court had already determined that there was a transfer of tax liability from Hotel Sirikwa Limited to Sirikwa Eldoret Hotel Limited.
Outcome
Appeal dismissed
Orders
- The Appeal be and is hereby dismissed.
- Each party to bear its own costs.
Authorities cited
Legislation (3)
- Income Tax Act
- Tax Procedures Act
- Tax Appeals Tribunal Act
Cases cited (3)
- Kry stall ine Salt Limited versus Kenya Revenue Authority
- THE INDEPENDENT ELECTORAL AND BOUNDARIES COMMISSION-vs-MAINA K1A1 & 5 OTHERS
- KENYA HOTEL PROPERTIES LIMITED -vs- ATTORNEY GENERAL & 5 OTHERS
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