A businessman has been arraigned in court for allegedly being in possession of unaccustomed goods and excisable stamps.
The suspect identified as Patrick Murimi was charged before Chief Magistrate Martha Mutuku at the Nairobi's Milimani Courts.
The businessman was charged with offences relating to repackaging and distribution of contraband cigarettes with the aim of evading taxes amounting to Ksh 11.6 million.
The accused faces the charge of being in possession of 1.4 million sticks of unaccustomed Super match cigarettes as the first charge. The cigarettes had a tax value of Ksh 8.3 million.
He is also facing a second count of being in possession of 50,000 pieces of excisable stamps made without authority from KRA as required under Regulation 30(1)(E) of Excisable Goods Management System Regulation 2017.
The KRA in a statement said that the authority strives in detecting and disrupting tax evasion schemes. The authority also added that it would prosecute criminals to ensure that all individuals pay their fair share of taxes.
The businessman was arrested on Dec 22 in Githunguri. He denied both charges and was released on a bond of Ksh 900,000 and an alternative cash bail of Ksh 200,000. The case is to be mentioned on February 22,2021.
In August 2020 KRA detectives identified 1,309 firms and wealthy individuals that owed them Ksh 259 billion. The tax evaders risk facing travel bans, asset freezing and deactivation of Personal Identification Numbers (PINs).
KRA is racing to bring in more people into the tax bracket and to curb tax evasion. This will be done with the aim of meeting targets in an economy affected by Covid-19.
KRA flagged firms in the construction, importation of hardware and household goods, scrap metal dealers and importers of electronic items including mobile phones for under-declaring VAT dues.
