Kenya has recovered approximately Ksh5.9 Billion stashed in Indian banks by wealthy Indian families.
According to the Times of India, quarterly data compiled by State Level Bankers Committee in Gujarat shows that the money was returned between April and June this year.
The larger part of the money has been recorded to be from Bhuj and Mandvi talukas native to Gujaratis who have settled in Kenya.
"The massive withdrawals are meant to avoid penalty or tax on their income stashed outside Kenya," the newspaper reported.
The withdrawals were done to take the advantage of a tax amnesty window extended by the treasurer.
In 2016, the Tax Procedures Act was amended to provide a tax amnesty on income declared for the year 2016 by a person who earns taxable income outside Kenya.
However, in 2017, Treasury CS Henry Rotich extended the period for applying for amnesty from December 30, last year, to last December 31, 2018, for the year of income 2016.
Those who failed to declare and deposit their foreign a
ssets and incomes within the deadline were given a penalty of 10% on their declared wealth.
“Despite the extension, the uptake of amnesty has been low, partly due to concerns that when the monies are returned, questions will be raised regarding the source as required by Financial Reporting Centre,” Treasury CS Henry Rotich disclosed.
In the recent past, the government has vowed to get back all the monies stashed in foreign banks illegally.
