Embu businessman Patrick Njiru Kuria, who is facing a Ksh9 billion tax demand from Kenya Revenue Authority (KRA), has been ordered to pay KRA Ksh10 million.
Kuria will be required to pay the amount within two weeks, or else the taxman will be allowed to recover the full amount.
“Since the factual circumstances relating to the Appellant’s business are not in doubt and taking all the facts into account, an order for payment of a reasonable amount would be appropriate in the circumstances,” ruled Justice David Majanja.
His company, Paleah Ltd, is facing closure if KRA moves to recover the amount, according to his argument in court.
“It must also not lost to the parties that the appeal may be wholly or partially successful,” he said.
Kuria said that his company had paid Ksh17.5 million to KRA, as part of the outstanding taxes.
“It is not in doubt that if this amount is enforced at once, the appellant will close down with all the attendant consequences. The Commissioner has not disputed the fact that the appellant is a trading company and a going concern,” added Justice Majanja.
KRA used his bankers and suppliers to unearth billions he is alleged to have failed to pay.