A director of a solar lighting company was on Wednesday charged before Eldoret court Senior Resident Magistrate Emily Kigen with tax evasion amounting to Sh7.1 million.
The company had been awarded a tender to light up streets in Uasin Gishu County.
Abdifaisal Amin Abdullahi of Keflogic Systems Limited faced four counts of tax fraud which include failure to pay Value Added Tax (VAT) for 2014 and 2015 as imposed under Section 19 of the VAT Act 2013.
He also faced charges of failure to submit monthly VAT returns and annual Income Tax returns for the two years.
The accused denied all the counts and was released on a bond of Sh2 million and alternative bail of Sh1 million.
The case will be heard on October 29, 2019.
The Kenya Revenue Authority (KRA) from its investigations established that Keflogic Systems Ltd was contracted by the Uasin Gishu County Government to carry out solar street lighting project.
However, the company director failed to pay the required taxes and has not submitted both VAT and Income Tax returns.
According to the KRA Commissioner, Investigation and Enforcement Department David Yego, the authority has prosecuted 152 cases in court since July 1, 2019, with a total revenue value of Sh56.7 billion.
"Taxpayers are encouraged to pay their taxes in time and remain compliant with tax laws in order to avoid punitive enforcement measures including prosecution," he said.
During the 2018/2019 FY, KRA recovered Sh8.53 billion from 222 cases won.
