M-Pesa Foundation loses bid to block Sh6.5m tax claim on workers’ pay

Safaricom shop

A Safaricom Shop located along Kimathi Street as pictured on March 8, 2023.

Photo credit: File| Nation Media Group

M-Pesa Foundation Charitable Trust has lost a bid to block the Kenya Revenue Authority's (KRA) claim for Sh6.48 million in withheld tax on staff cost reimbursements payable to Safaricom.

The Tax Appeals Tribunal said the claim by KRA against the foundation was justified because it is equivalent to income for Safaricom which seconded staffers to the charity organisation supported by M-Pesa.

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