File image of Evans KIdero.
Former Nairobi Governor Evans Kidero has reached an agreement with the Kenya Revenue Authority (KRA) to settle the Ksh 427 million tax case.
In the deal agreed on Monday, September 4, Kidero will be required to pay Ksh.19.4 million shillings under the terms of the agreement ending the tax dispute that has been in court since 2016.
The 19.4 million will include a principal tax of 12,038,982 million shillings, a penalty of 2,407,796 shillings, and interest of 5,036.405 million shillings.
“The 427 million shillings as revised to 19 million shillings comprising of principal tax of 12,038,982 million shillings, penalty of 2,407,796 and interest of 5,036.405 million shillings,” the consent reads.
Kidero is free to petition for remission of accrued penalty and interest payable immediately upon complete payment of total outstanding principle tax, but if he does not, the entire sum of penalty and interest is payable immediately.
The dispute began in 2016 after the taxman conducted an audit on Kidero’s accounts from January 2011 to December 2015 and slapped him with a Sh 680 million tax bill.
KRA ordered the former Nairobi County boss to pay tax amounting to 427,269,795.00 million shillings.
Kidero challenged the taxation at the tax appeals tribunal, claiming that the millions were campaign donations.
The tribunal ruled in his favor but KRA moved to the Supreme Court to appeal the decision. The apex in its ruling said Kidero lacked proof that the money in his accounts actually came from campaign donations.
Also Read: Inside Evans Kidero’s Exquisite Muthaiga Mansion Worth Ksh 300 Million
