How irrigation project landed contractor in Sh1.3bn tax fight

Gavel

For corporation tax, KRA initially identified a Sh979 million variance between Jilk’s declared sales and purchases claimed by customers. Jilk said much of it resulted from duplicate or erroneous customer claims.

Photo credit: Pool

A government irrigation project in Tana River County has become central to a Sh1.38 billion tax battle between a contractor- Jilk Construction Company and the Kenya Revenue Authority (KRA).

At the centre of the dispute is the Bura Irrigation and Settlement Scheme Rehabilitation Project, a government contract that Jilk took over from Afrikon Limited.

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