Kenyan case law

Stanbic Bank Kenya Limited v Commissioner of Domestic Taxes (Tax Appeal 228 of 2019) [2021] KETAT 121 (KLR) (23 April 2021) (Judgment)

Saniken (K) Limited v Commissioner of Investigations & Enforcement (Appeal 229 of 2018) [2021] KETAT 90 (KLR) (23 April 2021) (Judgment)

✦ The Appellant's claims for input VAT and deduction of costs were not allowed.

Darwine Wholesalers Limited v Commissioner of Investigations & Enforcement (Tax Appeal 231 of 2018) [2021] KETAT 64 (KLR) (23 April 2021) (Judgment)

✦ The Appeal is dismissed, and the demand for Kshs. 105,340,298/= is upheld.

Distinct Concept Enterprises Limited v Commissioner of Domestic Taxes (Appeal 329 of 2018) [2021] KETAT 29 (KLR) (23 April 2021) (Judgment)

✦ The Tribunal upholds the Respondent's Objection Decision on Value Added Tax and sets aside the additional Income Tax obligation.

Family Fashion Clothing v Commissioner of Investigations & Enforcement (Appeal 226 of 2018) [2021] KETAT 27 (KLR) (23 April 2021) (Judgment)

✦ The Appeal is dismissed, and the Objection Decision is upheld.

Kenya Civil Aviation Authority v Commissioner of Domestic Taxes (Tax Appeal 72 of 2016) [2021] KETAT 93 (KLR) (16 April 2021) (Judgment)

✦ The Tribunal held that the Kenya Civil Aviation Authority (CAA) does not have the authority to administer and enforce the provisions of written laws and that the responsibility of charging VAT lies with the Kenya Revenue Authority (KRA).

Halinto General Distributors Limited v Commissioner of Investigations & Enforcement (Tax Appeal 221 of 2018) [2021] KETAT 66 (KLR) (16 April 2021) (Judgment)

✦ The Tribunal found that the Respondent was justified in confirming the assessment as the Appellant did not provide evidence to support its objection.

Oracle Systems Limited (Kenya Branch) v Commissioner of Domestic Taxes (Appeal 148 of 2019) [2021] KETAT 86 (KLR) (16 April 2021) (Judgment)

✦ The Tribunal held that the dealings between the Appellant and Oracle Systems Limited do not constitute a supply of services for VAT purposes, and therefore, the Respondent did not wrongly demand VAT on services used and consumed outside Kenya.

Standard Chartered Bank Kenya Limited v Commissioner of Domestic Taxes (Appeal 199 of 2019) [2021] KETAT 98 (KLR) (16 April 2021) (Judgment)

SBM Bank (Kenya) Limited v Commissioner of Domestic Taxes (Tax Appeal 196 of 2019) [2021] KETAT 131 (KLR) (16 April 2021) (Judgment)

✦ The Appellant failed to prove that the amount in question was negative goodwill, and the Tribunal dismisses the appeal.

Histoto Limited v Commissioner of Domestic Taxes (Appeal 369 of 2019) [2021] KETAT 34 (KLR) (16 April 2021) (Judgment)

✦ The Appellant’s Objection is found to be valid. The Respondent’s assessments are allowed.

Branso Distributors Limited v Commissioner of Investigations & Enforcement (Appeal 236 of 2018) [2021] KETAT 31 (KLR) (16 April 2021) (Judgment)

Nakuru Cement Supplies Limited v Commissioner of Investigations & Enforcement (Tax Appeal 187 of 2017) [2021] KETAT 85 (KLR) (16 April 2021) (Judgment)

✦ The Appeal is dismissed, and the Respondent's Objection decision is upheld.

Rahima Traders Limited v Commissioner of Investigations & Enforcement (Tax Appeal 235 of 2018) [2021] KETAT 135 (KLR) (16 April 2021) (Judgment)

✦ The Tribunal found that the Appellant did not furnish sufficient proof of purchase and did not know or should have known that there was a fraud in the supply chain.

Bethsaida Enterprises v Commissioner of Domestic Taxes (Appeal 143 of 2019) [2021] KETAT 39 (KLR) (16 April 2021) (Judgment)

✦ The Tribunal found that the Notice of Objection was not validly lodged as the Appellant did not apply for an extension of time to lodge the late objection as required by the statute.

Ola Energy Kenya Limited v Commissioner for Investigations & Enforcement (Appeal 566 of 2019) [2021] KETAT 95 (KLR) (16 April 2021) (Judgment)

✦ The Tribunal found that the consignment did not exit the country as scheduled and that the Appellant is liable to pay the demanded tax.

Esteem Industries Inc v Commissioner of Domestic Taxes (Tax Appeal 55 of 2019) [2021] KETAT 65 (KLR) (16 April 2021) (Judgment)

✦ The Appeal is dismissed, and the claim for deduction of input VAT is time barred and hence not deductible.

Interactive Gaming & Lotteries Limited v Commissioner of Domestic Taxes (Appeal 121 of 2016) [2021] KETAT 26 (KLR) (16 April 2021) (Judgment)

✦ The Respondent’s Corporation Tax, Withholding Tax and VAT assessments be and are hereby set aside. The Respondent do proceed to review the Appellant’s records and issue appropriate tax assessments. Each party shall bear its costs.

Pevans East Africa Ltd v Commissioner of Domestic Taxes (Appeal 402 of 2020) [2021] KETAT 162 (KLR) (16 April 2021) (Judgment)

✦ The Respondent’s decision to issue the agency notices dated 25th August 2020 was ultra vires. The Respondent cannot apply the enforcement mechanisms set out under the Tax Procedures Act 2015 to enforce collection of taxes owed under the Betting, Lotteries and Gaming Act.

Kenya Pipeline Company Limited v Commissioner for Customs & Border Control (Appeal 45 of 2019) [2021] KETAT 146 (KLR) (9 April 2021) (Judgment)

✦ The Appellant's appeal succeeds, and the tax demand is vacated.

McKinsey and Company Inc Africa Proprietary Ltd v Commissioner of Legal Services and Board Cordination (Appeal 199 of 2020) [2021] KETAT 137 (KLR) (1 April 2021) (Judgment)

✦ The Tribunal finds that the income is not subject to Withholding Tax under Article 7 of the DTA and sets aside the Objection Decision.

Lachlan Kenya Limited v Commissioner of Customs & Border Control (Appeal 160 of 2019) [2021] KETAT 151 (KLR) (1 April 2021) (Judgment)

✦ The Appeal succeeds

Mwangi v Commissioner of Domestic Taxes (Tax Appeal 331 of 2018) [2021] KETAT 43 (KLR) (5 February 2021) (Judgment)

✦ The Appellant’s Appeal is dismissed. The Respondent’s Objection Decision and the Additional Assessment KRA201812185836, KRA201812185856, KRA201812185867 and KRA201812185885 are hereby upheld. The amount due and payable under the above-mentioned Additional Assessments of Kshs.1,400,841.00 shall be off-set against the VAT credit balance of Kshs.1,250,836.75.

Ibero Kenya Limited v Commissioner of Domestic Taxes (Tax Appeal 172 of 2015) [2021] KETAT 46 (KLR) (5 February 2021) (Judgment)

✦ The Tribunal finds that the loans are interest-free and the Appellant is liable to pay Withholding Tax as deemed interest.

Wadi Degla Investment Kenya Limited v Commissioner of Investigations & Enforcement (Tax Appeal 76 of 2018) [2021] KETAT 113 (KLR) (5 February 2021) (Judgment)