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KRA seizes illicit goods worth KES 897 million

Brenda Murungi by Brenda Murungi
March 8, 2024
in News
Reading Time: 2 mins read

The Kenya Revenue Authority (KRA) reported to the Senate Standing Committee on Trade, Industrialization, and Tourism that it has seized illicit goods worth KES 897.24 million in the current financial year.

KRA Commissioner General Humphrey Wattanga informed the committee that these seized items were the result of 976 interventions aimed at curbing illicit trade during the FY2023/24.

This comes amid heightened surveillance which targets to rein in production and sale of illicit liquor which has resulted to loss of lives and revenue to the government.

Wattanga stated that KRA has deployed its personnel to all excisable goods manufacturing facilities nationwide to improve adherence to regulations. The authority has further stationed officers at factories producing excise tax-covered products like beer, wine, spirits, cigarettes, mineral water, soft drinks, and juices, as outlined in the Excise Duty regulations.
The officers, also known as resident staff implement compliance, service support and enforcement initiatives including disclosure of any irregularities and discrepancies to ensure correct payment and filing of excise taxes by the manufacturers.

Wattanga told senators that as resident staff are meant to complement other monitoring measures such as CCTV cameras inside factories wired to KRA system to enhance security.

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In response to a petition presented before the Senate regarding tax compliance enforcement at manufacturers such as EABL, KRA stated that there have been no changes in manufacturing ingredients with tax implications over the past five years.

It was highlighted that Kenya Breweries Limited accounted for more than 60% of domestic excise collections in the fiscal years 2021/22 and 2022/23.

KRA told the committee that it continues to collaborate with other government agencies within the multi-agency framework to promote legitimate trade and protect the society against harmful products such as illicit alcohol, through various operations, border patrols, surveillance and monitoring of cargo.

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