Sharp Daily
No Result
View All Result
Tuesday, June 10, 2025
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
Sharp Daily
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
No Result
View All Result
Sharp Daily
No Result
View All Result
Home News

KRA to auction smartphones and laptops in tax recovery effort

Editor SharpDaily by Editor SharpDaily
October 16, 2023
in News
Reading Time: 3 mins read

In a move aimed at recouping unpaid taxes, the Kenya Revenue Authority (KRA) is making preparations to auction a variety of items, with smartphones and feature phones dominating the list.

The auction catalog comprises more than 100 refurbished phones, laptops, and e-cigarettes, for which importers have neglected to pay taxes. This action by the KRA underscores the significance of adhering to tax obligations and revenue collection in Kenya, particularly within the rapidly expanding tech sector.

The KRA has invoked the provisions of the East African Community Customs Management Act, 2004, specifically Section 42. This section authorizes the sale of goods through public auction if they remain unclaimed in the Customs Warehouse beyond 30 days from the date of the notice. The scheduled date for the auction is November 15, 2023.

The impounded cargo that is set to go under the hammer arrived at Eldoret International Airport between June 9 and June 13, 2023, carried on 11 different flights. Among the seized items are refurbished smartphones, laptops, feature phones, and e-cigarettes. This situation underscores the significance of tax compliance and the ramifications of failing to adhere to tax regulations.

RELATEDPOSTS

Kenya Revenue Authority (KRA) dismisses 19 staff in a renewed anti-corruption drive

February 13, 2025

New KRA Chairman Ndiritu Muriithi pledges professional transformation

December 30, 2024

This scenario of unclaimed cargo and potential auctions emerges against the backdrop of a revised cargo consolidation plan implemented by the KRA. The new plan requires traders to ship cargo through consolidation, paying taxes for each individual item and mandating clearance within 21 days.

This represents a departure from the previous practice where taxes on consolidated cargo were determined based on weight, a system that had allowed room for potential tax evasion through mis-invoicing.

Importers of consolidated cargo, which frequently includes mobile phones, laptops, toys, and second-hand clothing, are now mandated to unbundle the goods for clearance. This new regulation has faced criticism for causing delays in the clearance of goods at various ports of entry, including seaports and airports. The alterations in clearance procedures at Eldoret International Airport have made it a more attractive choice for importers in comparison to the busier Jomo Kenyatta International Airport in Nairobi. The airport’s appeal has been further enhanced by the resumption of direct international cargo flights in August, ending a 16-year hiatus.

The issue of unclaimed cargo extends beyond Eldoret International Airport and also encompasses a slowdown in cargo retrieval at the Port of Mombasa. This slowdown is primarily attributed to the new regulations governing consolidated goods and cash payments. KRA’s decision to liquidate cargo at various ports of entry is part of its strategy to optimize revenue collection and ensure compliance with tax regulations.

The impending auction of smartphones, laptops, and various other items at Eldoret International Airport exemplifies KRA’s dedication to enforcing tax regulations and gathering revenue. It serves as a warning to importers and traders to adhere diligently to customs and taxation requirements, accentuating the repercussions of non-compliance. These developments mirror the evolving landscape of tax collection and cargo clearance procedures within Kenya’s dynamic business environment.

Email your news TIPS to editor@thesharpdaily.com

Previous Post

MDBs surpass climate finance targets, delivering USD 60.7 billion

Next Post

Kenya, China sign pacts to transform power grid, boost connectivity

Editor SharpDaily

Editor SharpDaily

The latest in business, real estate, education, investments, tech and entrepreneurship, brought to you daily. Reach us through thesharpdaily@gmail.com

Related Posts

News

Co-op Bank posts KES 6.9 billion profit in Q1’2025

May 16, 2025
Agriculture And Economy
News

Lets get Kenya out of FATF list

May 9, 2025
News

The downside of Impact Investing

May 2, 2025
News

Leadership challenges at the University of Nairobi

April 24, 2025
News

Easter eggs and earnings: Growing your nest egg with CMMF

April 16, 2025
News

Geoffrey Ruku declares KES 377M net worth during CS vetting

April 15, 2025

LATEST STORIES

How Kenya’s E-Mobility shift could redefine urban planning

June 5, 2025

Economic liberators are the real heroes and heroines of the year

June 5, 2025

Affordable retirement planning for small businesses with CURBS

June 5, 2025

How Kenyan banks can modernize without marginalizing

June 4, 2025

Human rights concerns over activists’ treatment in Tanzania

June 4, 2025

Decoding stock-based compensation

June 4, 2025

Comparative advantage is the secret to real economic take off

June 4, 2025

Understanding inflation and its impact on everyday life

June 4, 2025
  • About Us
  • Meet The Team
  • Careers
  • Privacy Policy
  • Terms and Conditions
Email us: editor@thesharpdaily.com

Sharp Daily © 2024

No Result
View All Result
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team

Sharp Daily © 2024