High Court has ordered that Keroche Breweries Limited should pay Ksh500 million to Kenya Revenue Authority (KRA) to get a lift on the urgency notice issued to them.
Justice David Majanja said that failure by the brewer to pay the said amount in 30 days, an order preventing KRA from recovering the money by attaching the accounts of Keroche, would lapse.
The media reports had earlier shown that KRA was barred from recovering Ksh9.1 billion in taxes from the firm.
On 13 March 2020, Keroche went to court under a certificate of urgency, pursuing orders to lift the notice KRA had issued to its banks. The notice was meant to help KRA recover Ksh9.1 billion after the orders given by the Tax Appeal Tribunal (TAT) on 9 March 2020.
Keroche’s application was certified as urgent by the court. It was issued with a temporary stay of the tribunal’s order awaiting the hearing and determination on the appeal for a stay.
The court also ordered that Keroche’s application for a stay will be mentioned on 16 March, during which the KRA requested to be heard in opposition to the application to stay.
After hearings, the court ruled directed that there shall be a stay of additional enforcement of any collection of taxes resulting from the decision of the Tax Appeal Tribunal.
TAT was ordered to provide the typed copies of judgment to all the parties in 48 hours as well as typed proceedings in seven days from the day of the court hearing.
The petitioner was directed to file and serve its appeal record in 30 days from the day of the court hearing. The case is slated for mentioning on 23 April.