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Unitron Limited v Commissioner of Domestic Taxes (Appeal 1135 of 2022) [2024] KETAT 37 (KLR) (26 January 2024) (Judgment)

[2024] KETAT 37 (KLR) Tax Appeals Tribunal
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Court
Tax Appeals Tribunal
Case number
37
Citation
[2024] KETAT 37 (KLR)
Decided
26 January 2024
AI Summary Beta Machine-generated — may contain errors. Not legal advice.
TypeTax AppealPostureAppeal from a decision of the Commissioner of Domestic TaxesCoramEC
Holding

The Tribunal finds the Respondent’s objection decision unjustified and sets it aside.

Facts

Unitron Limited appealed against a decision by the Commissioner of Domestic Taxes to disallow a VAT refund claim of Ksh. 12,789,870.54. The Commissioner had disallowed the claim due to lack of supporting documentation for purchases of Ksh. 22,710.43.

Issues

  1. Whether the Respondent’s objection decision dated 10th November, 2021 is proper and in conformity with the law.

Reasoning

The Tribunal notes that the Respondent admitted reviewing the invoices and allowing VAT claims from six suppliers, but disallowed a smaller claim without proper documentation. The Tribunal finds the burden of proof lies with the taxpayer and the Appellant provided sufficient documentation.

Outcome

The Appeal is allowed, and the Respondent’s objection decision is set aside.

Orders

  • The Appeal is allowed.
  • The Respondent’s objection decision dated 10th November, 2021 is hereby set aside.
  • Each party to bear its own costs.

Remedies

  • VAT refund claim of Ksh. 12,789,870.54 is reinstated.
  • Respondent’s objection decision is overturned.

Authorities cited

Legislation (1)
  • VAT Act
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.
Full judgment 0.2 MB · PDF

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