File image of Morara Kebaso.
The Kenya Revenue Authority has launched investigations against activist David Morara Kebaso over tax evasion.
Kebaso allegedly filed nil returns to the taxman despite making Sh 186 million from five of his businesses since 2022.
In a notice sent to Morara, KRA listed five companies, including Igrow Digital Enterprise, Morara Home Furniture, Luku Fashion, Morara Properties Limited (Blacksmith Morara Limited), and Backtent Security Limited.
The taxman highlighted that since 2022, money had been transferred to Morara’s personal bank account, as well as to the accounts of Morara Properties Limited and Morara Home Furniture.
According to the KRA, Morara received the funds in his personal account, primarily through M-Pesa, with the money intended to cover the cost of furniture and interior fittings.
KRA also claimed that Morara Properties and Morara Home Furniture received payments through M-Pesa Paybill transactions.
In the KRA’s analysis of the three bank accounts, the tax authority revealed that the accounts received trade credits of Ksh 9.5 million, Ksh 31.9 million, and Ksh 144.9 million in 2022, 202,3 and 2024 respectively, bringing the total to Ksh 186.3 million over the past three years.
“The trade credits were compared with income tax turnover declared in the income tax returns, to which it was noted that you are a non-filer, to determine undeclared income turnover. It was noted that you are not registered for Value Added Tax (VAT),” KRA said.
Morara has since dismissed the allegations by the taxman saying he is a law-abiding citizen adding that he has tax compliance certificates for his businesses.
“This is nothing but a political witch-hunt. I have followed the law to the letter and I am a very tax-compliant businessman. I can never think of defrauding my beloved country in any way,” Morara said.
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