Sharp Daily
No Result
View All Result
Wednesday, July 9, 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

Lessons from KRA’s VAT turnaround

June 12, 2025

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

February 13, 2025

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

Business

Del Monte foods files for bankruptcy in USA

July 3, 2025
News

Private vs Public Pension Funds in Kenya

June 30, 2025
Investments

Investor shift to long term bonds drives oversubscription in CBK’s reopened auction

June 19, 2025
News

The real price of Israel – Iran Conflict for Kenya.

June 19, 2025
Economy

Resilient but strained: Kenyan firms speak out in May 2025 CEO survey.

June 19, 2025
News

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

May 16, 2025

LATEST STORIES

The importance of Investment Policy Statements (IPS) for pension schemes in Kenya

July 4, 2025

Understanding Life Cover as an Additional Benefit in Retirement Benefit Schemes

July 4, 2025

Del Monte foods files for bankruptcy in USA

July 3, 2025

Lessons from the Kuramo-TransCentury fallout

July 3, 2025

Private vs Public Pension Funds in Kenya

June 30, 2025

The mechanics of currency manipulation

June 27, 2025

Understanding how to access your pension savings in Kenya.

June 27, 2025

What happened to president Ruto’s economic dream?

June 27, 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