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Kenyatta family-linked NCBA Group has responded to claims that it has been evading taxes.
While admitting that NCBA benefitted from a Sh350 million tax waiver during the merger between NIC Group PLC and Commercial Bank of Africa (CBA) in 2019, the lender’s Managing Director John Gachora dismissed claims that the bank evaded taxes.
Gachora stated that the bank is ready to refund the Sh350 million should the court find NCBA to have contravened any tax-related law following the waiver, which has become a subject of public debate.
“I want to assure the public and every Kenyan that should the court find that NCBA was not entitled to that waiver, the day the court makes that determination, I can promise that the following day we will send a cheque of Sh350 million to the exchequer,” Gachora told KTN News.
He pointed out that the bank has been meeting its tax obligations, saying the Sh350 million is nothing compared to the billions of shillings the lender has been paying to the Kenya Revenue Authority (KRA) annually.
“People need to understand that the waiver was given to the NCBA or the merging parties. With 26,000 shareholders behind the banks that were merging. In the same year that we got the waiver of Sh350 million we paid total taxes of Sh4.4 billion the same year, more than 10 times the waiver the people are talking about,” he said.
“NCBA is one of the biggest taxpayers. In 2021, we paid taxes of Sh6.7 billion, in 2022, we paid Sh14.3 billion in taxes. Sh350 million in the context of what we pay in taxes is nothing.”
In 2019, former Treasury Cabinet Secretary Henry Rotich exempted the merged CBA and NIC bank from paying share transfer tax.
NIC group shareholders got 47 percent of the merged entity while CBA shareholders, who included former President Uhuru Kenyatta’s family received 53 percent of the merged entity.
On Monday, Nyandarua Senator John Methu wrote to KRA requesting all past Kenyatta family business deals be subjected to an audit.
The senator listed the merger of CBA and NIC Group among the business deals that should be probed over tax evasion.
Comments
This kubafu @halisi who is now talking after being deported from the USA has no shame! So not give us a chance to tell the world all the crimes you committed that got you jailed in America and then deported like a wet chicken back to Kenya. And yes we know where you live with your two cows.
RISASI TU ndio dawa ya hawa majangili.Kobia seem to be the major shareholder of Ngina corruption company.
yes, bring it back. It is part of public coffers, and you should be charged interest on it too.
What is the debate here???..KRA should present them with a bill if they owe anything but at the same time they are ready to pay ASAP so there's no debate here.
When I look at Ruto I see another Trump.
We are a poor country and taxes should be based on the ability to pay and it seems to be very obvious that the waiver in question should not have happened.
No waiver for someone or corporate who can pay. Just pay up instead of waiting to be told. It's immoral to not offer to pay when you can
It’s nothing for sure cause you never shed a sweat on it, y’all looted peoples money! We want all of it back from offshore stash to public coffers and long prison time for the criminal thieves!
Eti it is nothing..yes, we know it is nothing compared to how much you pilfered out of the public coffers, uninhibited. Shame on you.
Thieves u go ahead n return the monies with interest if it’s nothing.Kenyatta/Moi/ondinga families r thieves n they have bin stealing from us since pre independence.Their big bizness should be investigated fully.Hata mashamba zao na gas companies zote.Mashetani Saitan.