KRA, NTSA step up search for 124 cars with tax issues
The Kenya Revenue Authority (KRA) and the National Transport and Safety Authority (NTSA) have stepped up the search for 124 cars believed to have been illegally imported and registered.
This follows failure by the car owners to voluntarily present themselves for inspection.
The two authorities have now released the names and PIN numbers of the car owners in an effort to smoke them out to ascertain their tax status.
The vehicles, which KRA said have outstanding tax issues, are suspected to have initially been declared as transit cargo, but later dumped in the local market.
Most of the cars are also suspected to have been stolen from the UK, with Kenya offering a ready market.
In May, KRA expanded the scope of its probe into tax evasion on car imports to focus on car bazaars across the country.
This came after the taxman issued a recall notice on 124 high end cars with suspicious tax status.
The crackdown came in the wake of rising cases of cars destined for other countries finding their way into the local market, sidestepping the revenue authority.
KRA had impounded three Range Rovers worth Ksh 28 million concealed in a cargo container, which had been declared as household goods while on transit to Uganda.
The luxury vehicles had a combined tax claim of Ksh 4.8 million
In the same month, the KRA moved to court to seek warrants of arrest against vehicle owners whose cars were listed over tax disputes and failed to show up to its Support Center for verification.
Only 4 out of 124 registered owners presented their cars and documents for verification.
The registered owners of the 124 listed vehicles had been asked to take notice of Section 204 of the East African Community Customs Management Act, 2004.
The authority has been cracking the whip on tax evaders.
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