TRANS NZOIA COUNTY SUPPLIER CHARGED WITH TAX EVASION

TRANS NZOIA COUNTY SUPPLIER CHARGED WITH TAX EVASION

By Donald Kogai

A businessman who made supplies worth Kshs

65 million to Trans Nzoia County Kenya was

charged before Eldoret Senior Principal

Magistrate Naomi Wairimu with tax fraud

amounting to Kshs.3 million.

Joab Lumbasi Simiyu, director of Africonnect

Limited, was charged with four counts jointly

with his company, failure to pay VAT of Kshs

2.9 million and Kshs 155,000 for the years 2015

and 2016 respectively by due dates, failure to

submit tax returns for the two years as required

under Tax Procedures Act 2013.

The accused pleaded not guilty to all the

charges and were released on a bond of 100,

000 or surety of the same.

KRA tax assessments on the taxpayer-

Africonnect Limited established that the

company had been awarded a tender by Trans

Nzoia County Government and paid monies in

the sum of Kshs 65,000,000 for supply of two

rotary drilling rigs each for Kshs 33,500,000.

Africonnect Limited executed the tender and

was paid but neither filed VAT returns nor paid

tax due.

Hearing is on 1st February 2021, if found guilty,

the accused is liable to a fine not exceeding

10,000,000 kenya shillings or double the tax

evaded or imprisonment for a term not

exceeding 10 years, or both.

Failure to submit tax returns, accused is liable

to a fine not exceeding Kshs 1,000,000 or

imprisonment for a term not exceeding 3 years,

or both.