I&M Bank has escaped a Sh713 million tax bill after a tribunal found that the Kenya Revenue Authority (KRA) wrongly taxed cash that the lender had set aside to cover potentially unpaid loans.
The Tax Appeals Tribunal ruled that KRA mistakenly treated the bank’s Sh1.3 billion as bad debts written off in 2019, even though it was a reversal of money previously set aside against possible loan losses.
