Counties

Twiga Foods, Bamburi Cement face goods auction over tax

twiga

Workers sorting bananas and arranging them into creates at Twiga Foods Limited in Syokimau in Nairobi on May 30, 2019. PHOTO | EVANS HABIL | NMG

Summary

  • Twiga Foods, Bamburi Cement, and Honda Motorcycles Kenya are among firms that risk losing imported goods in a Kenya Revenue Authority (KRA) auction meant to recover unpaid duty.
  • Others whose goods face the auctioneers' hammer are Chai Trading and the County government of Kajiado, which stands to lose two ambulances and a Ford van.
  • The auction comes in a period when KRA has stepped up sale of goods held at its custom offices in the race to meet its tax collection targets.

Twiga Foods, Bamburi Cement, and Honda Motorcycles Kenya are among firms that risk losing imported goods in a Kenya Revenue Authority (KRA) auction meant to recover unpaid duty.

The KRA in a gazette notice dated May 20 said the goods include Twiga Foods’ 5,130 boxes of imported onions while Bamburi is yet to clear 29 containers of laterite—a material used in clinker making.

The taxman warned the firms to clear the goods and the unpaid taxes within 30 days.

Others whose goods face the auctioneers' hammer are Chai Trading and the County government of Kajiado, which stands to lose two ambulances and a Ford van.

“Interested buyers may view the goods at the Customs Warehouse, ICDE on 24th June 2022 and 27th June 2022, during office hours,” read the notice ahead of the planned June 28 auction.

The auction comes in a period when KRA has stepped up sale of goods held at its custom offices in the race to meet its tax collection targets.

Among the other firms at risk of losing goods is Eyres motors which has uncleared cars shipped in from Japan, Singapore and Australia.

The KRA regularly auctions goods and vehicles which have overstayed in its facilities, usually because owners fail to pay taxes or have misdeclared the goods.

During these auctions, prices are determined by a number of expenses including duty due, the expenses of removal and sale, the rent and charges due to the custom, port charges, freight and any other charges.

The reserve price of goods offered at an auction is set by the Commissioner which includes duties, expenses, rent, freight and other charges and goods cannot be offered at a price below the reserve price.

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