Keroche Industries will shutdown if KRA proceed to collect taxes of Sh9.1 billion :(
The Kenya Revenue Authority won a case that had been filed at the Tax Appeals Tribunal in 2015 and 2017.
The Kenya Revenue Authority can now proceed to collect taxes of Sh9.1 billion from Keroche Breweries Limited with regard to products manufactured and marketed by the liquor company.
Keroche CEO Mrs Karanja has accused the taxman of selective and unfair targeting, arguing that she has always followed the law and was shocked to be accused of tax evasion when the matters were still under a tax tribunal.
In August 2019, Keroche Breweries Tabitha Karanja and her husband Joseph Karanja were to answer to 10 charges related to tax evasion.
Director of Public Prosecutions Noordin Haji had ordered their arrest and arraignment to answer to charges of tax fraud committed between January 2015 and June 2019.
Founded in 2009 and wholly owned by the Karanja family, Keroche started by making spirits and wines before diversifying into beer. It was the first ever Kenyan-owned company to brew beer which for a long time was the preserve of East African Breweries Limited (EABL).
The company has been at loggerheads with KRA for the last 5 years. In
the past Keroche battled with KRA over Sh1.3
billion backdated tax bills, which issued a shutdown order but the brewer
obtained a court order stopping the closure.
In 2017, the Court of Appeal ruled in favour of Keroche breweries.
In 2015 Keroche Breweries was shut down for days
for alleged non-compliance on taxation
