Kenya: Firm Owner Pleads Guilty to Tax Evasion Using Fake Stamps


Nairobi — A firm proprietor in Naivasha Wednesday pleaded guilty to two counts of charges of tax evasion using counterfeit excise stamps worth Shs 34, 942.

David Karanja was arrested on September 30, 2021, for possession of 3,792 bottles of Queency juice fixed with counterfeit excise stamps.

He was taken to court and charged with the offense of being in possession of excise stamps acquired without the authority of the Kenya Revenue Authority (KRA).

Karanja appeared before Senior Principal Magistrate Joseph Karanja who sentenced him to nine months imprisonment or pay a fine of Shs 40,000.

“Contrary to Section 40 of Excise Duty Act and Regulation 30(1)(g) as read with Regulation 30(2) of the Excise Duty (Excisable Goods Management System) Regulations, 2017, the accused has been found with the offense of being in possession of excisable goods affixed with counterfeit excise stamps and being in possession of excise stamps acquired without the authority of KRA,” read a court statement.

KRA has urged business owners and the general public at large to avoid indulging in the malpractice as goods affixed with counterfeit stamps are liable to forfeiture.

“KRA has noted that some manufacturers and distributors have resorted to affixing excisable goods with counterfeit excise stamps with a view of evading payment of excise duty. This is a deliberate fraud to defraud the Authority Excise Duty,” the agency added.

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Source link : https://allafrica.com/stories/202110140037.html

Author : Capital FM

Publish date : 2021-10-14 05:30:59

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