KRA loses its Sh2 billion tax claim in KPA kits buying deal

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Times Tower in Nairobi, the headquarters of Kenya Revenue Authority (KRA). FILE PHOTO | NMG

The taxman has lost a Sh2 billion tax claim from the Kenya Ports Authority (KPA) over the procurement of some cargo handling equipment between 2018 and 2022.

In a ruling delivered on January 26, the Tax Appeals Tribunal dismissed the KRA's assessment of Sh1,993,582,700 in withholding tax plus penalty and interests, concerning two multi-billion shillings contracts for the supply of a tugboat and cranes by a foreign contractor to the ports authority.

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