An Eldoret businessman has denied Sh241 million tax evasion.
Muktar Sheikh was arrested and arraigned on Monday.
He faced 13 counts and was freed on a Sh2 million bond with one surety or Sh200,000 bail.
Sheikh is said to have avoided paying the taxes for his Bashash Construction Company Limited businesses in Uasin Gishu, Mandera and Mombasa counties between 2011 and 2017.
The particulars of the charges read: “Being registered taxpayers chargeable to tax and in receipt of income derived from business activities within Uasin Gishu, Mombasa and Mandera counties, knowingly omitted from the returns income of Bashash Construction Limited.”
The court was told that Sheikh failed to declare Sh106,863,492 VAT in his tax returns to Kenya Revenue Authority between 2011 and 2013.
He also allegedly evaded Sh107,755,691 tax in the same period.
Between 2013 and 2014, the court heard that Sheikh evaded paying Sh690,769 by failing to file tax returns and avoided paying Sh77,750,818 VAT between 2014 and 2015.
"The amount affected tax liability owed by the company," the court heard.
Further, the businessman evaded paying Sh10,787,312 VAT between 2016 and 2017.
Failure to pay excise duty or VAT attracts a penalty of five per cent of the tax due or Sh10,000 up to a maximum of Sh100 million.
An additional 20 per cent of tax involved is charged for failure to pay tax on due date.
The case will be heard on September 20.
Edited by R.Wamochie
