The Kenya Revenue Authority has revealed its plans to appeal the Tax Appeals Tribunal (TAT) ruling on 20 percent withholding tax after SportPesa and Betin’s secured a major win in the tax payment model.
In a statement released to the media houses on Monday, KRA's Legal boss Paul Matuku said that the taxman has decided to appeal the ruling after the big loss. He said that the ruling made by Justice Hatari Waweru’s in a Meru High Court is not lawful.
Matuku said that the judge had misunderstood the meaning of the term wining. He added that the income tax act has a different definition of the terminology.
"In arriving at its decision, the TAT found that Justice Hatari Waweru’s decision was inapplicable hence not binding on it because it had not delved into the definition of the term 'winnings', " read the statement, as quoted by The Star.
The taxman has said that the ruling had no legal backing and affirmed that it will not back down on the enforcement of tax obligations.
The appeal process kicked off on November 8 through a notice filed by the taxman. The government has maintained that it will not change its tune on the tax requirements.