Tax Anomaly Corrected
A businessman finally had his bank accounts re-opened by the Kenya Revenue Authority (KRA) following the intervention of the Commission.
Mr. Mike Mwangi complained to the Commission alleging a delay by KRA to rectify a tax anomaly. According to him, an anomaly occurred when he was filling his Value Added Tax (VAT) for the tax period 2016. Whilst submitting his VAT returns, he erroneously filed his returns as Kshs. 11,583,147 as opposed to Kshs. 1,158,314 and upon noting this inadvertent error he filed an amended return which KRA failed to process.
Consequently, in June 2022, KRA issued a demand to him claiming Kshs. 7,519,482 and proceeded to direct the closure of all his business accounts. Upon lodging his complaint with KRA and furnishing the supporting documents thereto, there was a delay in resolving the matter which hampered his business operations despite his numerous follow-ups. His predicament impelled him to seek the intervention of the Commission on 19th May 2023.
The Commission by way of inquiry took up the matter which led to the issue being addressed and the reopening of his bank accounts.