Bahari Dhow Limited v Commissioner of Domestic Taxes (Tribunal Appeal 41 of 2022) [2023] KETAT 97 (KLR) (17 March 2023) (Judgment)
- Court
- Tax Appeals Tribunal
- Case number
- 97
- Citation
- [2023] KETAT 97 (KLR)
- Decided
- 17 March 2023
AI Summary
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TypeTax AppealPostureAppeal from a decision of the Commissioner of Domestic TaxesCoramE.N Wafula, Cynthia B. Mayaka, Grace Mukuha, Ak Kiprotich, JC Bii
Holding
The Tribunal found that the Respondent did not err in subjecting the payments to Mr. Farras to PAYE and in charging Withholding tax on booking commissions to Bookings.com.
Facts
Bahari Dhow Limited appealed against a decision by the Commissioner of Domestic Taxes regarding PAYE, withholding tax, and VAT on various payments and commissions.
Issues
- Whether the Respondent erred in subjecting payments to Mr Jorge Farras to PAYE.
- Whether the Respondent erred in charging Withholding tax on payment of booking commissions to Bookings.com.
- Whether the Respondent erred in disallowing input VAT.
- Whether the Respondent erred in assessing Income Tax on the Appellant.
Reasoning
The Tribunal determined that Mr. Farras was a consultant and not an employee, and thus subject to Withholding Tax rather than PAYE. The Appellant failed to provide sufficient evidence to prove Mr. Farras was a consultant.
Outcome
Affirmed
Authorities cited
Legislation (1)
- VAT Act
Cases cited (1)
- Gilbert Sule Otieno vs. Seventh Day Adventist Church (EA) Ltd.
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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