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The Kenya Revenue Authority (KRA) has once again shut down Keroche Breweries Limited over tax arrears.
Keroche CEO Tabitha Karanja says the company was shut down on May 15th after reneging on an earlier agreement to repay tax arrears amounting to Sh30 million.
Addressing the press at the factory on Tuesday, Karanja said the taxman went ahead to issue agency notices to several banks against lending the brewer, a move that has fully paralyzed its operations.
"The KRA measures of issuing the agency notices to all the banks in Kenya, have induced a harsh investment climate. Some banks with whom we were arranging financing are finding it difficult because frequent closures are raising risk levels," said Karanja.
She claimed that the company signed the tax repayment agreement under duress and efforts to seek more time to pay the arrears had hit the wall.
Karanja warned that more than 400 workers could be rendered jobless while beer worth over Sh350 million could go to waste if the company remains closed.
“KRA’s draconian measures against Keroche Breweries constitute a hostile exception to well-established government policies of investment promotion, job creation and support for value addition,” Karanja said.
She added: “During the Covid-19 pandemic, the brewery was closed for two years because of the measures enforced to contain the spread of Covid-19 and we incurred tax arrears of Sh322 million.”
She maintained that KRA's move to shutdown Keroche breweries is politically motivated, linking it to her decision to vie for the Nakuru senate seat under the Deputy President William Ruto-led United Democratic Alliance (UDA) party.
"I have called various offices for intervention, and it has been made clear to me that I can only safely exercise my political and democratic rights under the Azimio la umoja coalition and that as matters stand, the adverse action will be sustained," she noted.
Karanja pleaded with KRA to give the brewer a moratorium on the enforcement action that halted their operations and a review of the unsustainable payment plan.
“I plead with the KRA to afford us an opportunity to regain our footing as a manufacturer, employer and a local entity in order to sustainably meet all our obligations” she said.
In March, Keroche and KRA signed a payment plan that would see the brewer settle an undisputed tax amount of Sh957 million over a period of 24 months.
Comments
This is another bs fron the government Keroche has employees who will go jobless. Stop this can u close brookside dairies instead
Every company is supposed to pay taxes in kenya. Those employees need to tell Tabitha Keroche to pay taxes. She can use the money she is wasting on political campaigns to clear her tax arrears.
Karanjas wambembe msaraba wao.Ata kina Uhuru will be alone when KRA will demand taxation from 1963.I wonder how many Luos will die when it comes to SPECTER INT.Karanjas and other thugs,including the so-called 50 Mt Kenya billionaires had been warned sometimes back that their taxes are never written off despite paying fat protection fees to muchawi Raila and expired Kirubi.
Absolutely shut down the company no use continuing to show leniency while she hides behind the fact that the company is providing employment.I guess Covid saved some lives it is not like beer is an essential product.She has money to change her name and go on campaigns while not paying her taxes.Modern or should I say the Rift Valley version of Marie Antoinette.If the people cannot afford “bread” let them have “cake”and yet some gullible voters think she deserves to be in parliament.She is already breaking the law as a regular citizen what will she do when you crown her mpig?
Pay your Kra dues Keroche. You know all this coming when you failed when you failed to at your taxes.
Stop telling us you are being persecuted for joining UDAku under ruto. You knew you were joining a party full of thieves, corruption, money laundering characters, etc.
The debt to KRA is undisputed as mentioned so the rest are sideshows. If someone owes money the creditor has right to dictate terms, reasonable or not.
Yani the only wa Kenya fights corruption is when one is of a diff political view. Saw tu. If rhis is just how we work, time for Ruto’s camp. Next prezi akikuja, we capture another set of thieves.
I thought she said she had nothing to do with Keroche?
This woman has no MONEY to pay taxes? We can auction her cars get some money back.