Court blocks taxman’s Sh80m VAT demand against LG Kenya

Times Tower in Nairobi, the Kenya Revenue Authority headquarters. FILE PHOTO | DENNIS ONSONGO | NMG

The Kenya Revenue Authority (KRA) has suffered a blow after the High Court blocked it from demanding millions of shillings in taxes from LG Kenya for marketing services done by its agents.

The taxman had insisted that the marketing services are taxable supplies and thus subject to tax and the consumption of the services offered is in Kenya by the independent distributors to the Kenyan public, who buy the products.

PAYE Tax Calculator

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