KRA has gained another weapon.
One that will make serial nil return filers hesitate before clicking that NIL button.
Last month, this tax dispute left many ears tingling.
There is a restaurant called Avery Lounge.
I have no clue how they mastered it, but they cook the finest fish in Utawala.
Just next to Banta. My friend Kasimu recently took me there.
The place also offers the most spectacular rooftop view of Embakasi.
But there was one small problem.
- Despite all that poshness, Avery Lounge kept filing nil tax returns.
KRA became curious.
So they sent their spies.
The spies returned with a disturbing report:
- Bosi, the place is full. People are eating life like tomorrow has been cancelled.
KRA was enraged.
- How could such a big restaurant keep declaring zero income?
So KRA went straight for their bank accounts.
And what did they find?
- Millions flowing in.
At that point KRA lost its remaining patience.
They demanded for:
- financial statements
- purchase & expense records
- explanations for the deposits
But Avery provided none of them.
KRA became even more dramatic.
- They totaled all the bank deposits for the year.
- Baptized them as income.
- Then applied 30% income tax on the entire amount.
And sent Avery a tax demand of ksh 93 million.
Avery ran to court.
- They argued that some of the deposits were loans.
- And that KRA had not factored in real expenditures like purchases & Wages
But there was a small problem.
- They had no loan agreements.
- No documentation for expenses.
- Nothing.
The court looked at the situation and said:
- Since the taxpayer refused to provide records, KRA had no choice but to treat the bank deposits as income.
And with that, the court told Avery:
- Pay the 93 million tax bill.
Case closed.
So what is the lesson here for you?
If you have money flowing through your bank accounts, and you cannot explain the source,
KRA will simply decide:
- All deposits = income.
- And tax those deposits.
Therefore:
- Be careful with nil returns.
- Keep records. In tax matters, records are king.
Starlink has partnered with Mawingu to expand satellite internet in rural Kenya.
The deal will start with about 450 digital hubs in schools, farmer groups and community centres to improve internet access.
President William Rutoโs allies are increasingly linking his predecessor, Uhuru Kenyatta, to growing opposition to his Kenya Kwanza administration.
Read more: https://t.co/heBmwsXAjj
The Communications Authority of Kenya plans to deploy a cloud-based IDโtoโSIM verification system enabling users to check which phone numbers are registered under their identification documents via SMS.
The platform will integrate all licensed mobile operators, support high query volumes, and generate detailed audit trails. Enhanced encryption, access controls, and monitoring tools are expected to strengthen oversight of SIM registration records.
https://t.co/2zuBEOKs6j
SUSPECT ARRAIGNED OVER SH11.4M CYBER HEIST
Detectives from the Banking Fraud Investigation Unit (BFIU) have arrested and arraigned cyberfraudster Seth Mwabe Okwanyo, aka Seth Onyango Odhiambo, for orchestrating a fraudulent scheme that siphoned off Sh11.4 million from a leading microfinance institution.
This action follows a formal complaint lodged by the Microfinance institution, detailing a shocking incident that occurred on July 16, 2025. On that day, a total of thirty-eight (38) fraudulent transactions were executed through the institutions System, resulting in a loss of Sh11,410,165. These transactions circumvented the company's internal visibility and control measures, raising serious concerns about security breaches.
Dedicated investigators immediately sprang into action, uncovering that these thirty-eight transactions were absent from the microfinance institution records yet were flagged as successful to the recipients. This discrepancy indicated that the hackers had deliberately erased both system and database logs to cover their tracks.
Further investigation revealed the unauthorised installation of a Java application in the system. With this malicious app, Seth Mwabe Okwanyo was able to manipulate the system to not only steal the funds but also launder them through various accomplices.
In court, Seth faced multiple serious charges, including Unauthorised Access to a Computer System, Computer Fraud, and Money Laundering. He entered a plea of not guilty to all twenty counts. The court granted him bail, allowing his release on a bond of Sh1,500,000 or a cash bail of Sh500,000.
The case is slated for mention on March 3, 2026, as authorities continue with their investigations to unravel this intricate web of cybercrime.
#FichuaKwaDCI. Call 0800 722 203 (Toll-free) or WhatsApp at 0709 570 000 to report anonymously. Usiogope!
"KRA can only access your bank account with a court order," says CPA Fiona Witaba, explaining why KRA will find it difficult to tax bank deposits, as Kenyans are protected under the Data Privacy Act!
13 terrorism suspects bank accounts frozen
Feb 7, 2026 ๐๏ธ ๐
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#YourTrustedNation
KRA Staff Integrity:
KRA tightens oversight of field officers after taxpayer complaints
System expected to go live by April after staff training
#CitizenFridayNight
MICDE & ICTA, in partnership with UK International Development (FCDO), convened a high-level Beneficiaries Connect Forum & UK DAP Peer Learning engagement in Nairobi to advance Digital Skilling at Scale in Kenya.
What is life? This is Catherine Wambugu of Wambugu Apples Laikipia, together with Terry a Staff member at Wambugu Apples Farm. They were involved in a tragic road accident along Nyeri-Nyahururu road on Monday. Terry and another staff died on the spot. Catherine is in hospital
KRA is seeking a private strategic partner to fully finance a large-scale technology overhaul, including AI-driven analytics, drones, non-intrusive inspection systems, and a centralised data platform, with the investor recovering costs and profit through milestone-based payments over a roughly ten-year contract.
The investor recovers capital, operating costs, financing costs and profit through negotiated periodic instalment payments over an estimated 10 year contract, with provisions to extend the term if returns are not fully recovered within the initial period.
Join the AI Co-Pilot: Masterclass for Work and learn how to draft emails, summarize documents, and turn ideas into clear, structured plans using AI.
Date: 20โ23 Jan 2026
Time: 5:30pmโ8:00pm
Online (Google Meet)
Free training
Register here: https://t.co/T39Klv9YgL