KRA wins Sh773m tax dispute against construction firm in 'missing trader' case

The dispute narrowed to one key question concerning which statutory deductions legally apply to court-awarded compensation.

Photo credit: Shutterstock

The High Court has delivered a victory for the Kenya Revenue Authority (KRA) in a tax dispute with a building and civil engineering contractor, reinstating a Sh773 million tax assessment that had been partially overturned by the Tax Appeals Tribunal last year.  

The court ruled that the Tribunal erred in law by dismissing KRA’s findings on Dinesh Construction Ltd's alleged tax evasion through 'missing trader' schemes and unexplained bank deposits. 

PAYE Tax Calculator

Note: The results are not exact but very close to the actual.