The Kenya Revenue Authority (KRA) has arrested the proprietor of Tabito Packaging & Suppliers after seizing over 25,000 pieces of counterfeit excise stamps and 5,000 bottles of sky-falls drinking water at his water refilling plant in Industrial Area, Nairobi County.
The drinking water bottles had all been pasted with counterfeit excise stamps under the false pretense that the excise duty had been paid.
Following the shutting down of the processing plant, the authority has now begun investigations, working hand in hand with the owner to find out the source of the counterfeit excise stamps.
"Possession or use of fake excise stamps is illegal under the Excise Duty Act, 2015 and the Excise Duty (Excisable Goods Management System) Regulations, 2017," stated KRA in a press release on Friday, March 26.
KRA reminded all licensed manufacturers, importers, distributors, retailers and general public that all excisable goods other than motor vehicles need legally acquired excise stamps as per the law.
"To set the record straight, any water that is not packaged, that is, tap water or water coming directly from a natural source does not attract any tax. However, once water is purified and bottled for sale, it becomes excisable," the government agency clarified.
Excise stamps for water bottlers go for Ksh0.50 per stamp. As for the excise license, one can initiate the application process via iTax under the registration tab.
"KRA is the only agency mandated with the issuance of excise stamps," affirmed the state agency.
KRA is on an ongoing crackdown operation to ramp out illicit goods from the market in an effort to protect the public from harmful goods, create fair market competition and to protect revenue.
The agency also liaised with the Nairobi County Government targeting businesses in Nairobi over the renewal of permits and licenses.
"A team of KRA Nairobi County revenue officials is on a 10-day activation exercise across the county in conjunction with officers from the Nairobi City County Government as the renewal of county permits and licenses continues," they stated in a press statement on March 18, 2021.
