KRA shuts down Anerlisa Muigai's family business over tax arrears

Tens of workers are set to lose their jobs at Keroche Breweries following a decision by the Kenya Revenue Authority to close down the company over a Sh332 million tax arrears.

The shut-down comes even after the Naivasha-based brewer had asked the taxman for a grace period to clear the tax obligation, saying the Covid-19 pandemic had adversely affected its revenue flows.

Chief Executive Officer Tabitha Karanja has petitioned President Uhuru Kenyatta to intervene, saying efforts to get an audience with the KRA commissioner General had hit a snag.

“We are sure that this issue can be sorted amicably as we are ready to pay the required taxes if KRA opens up our brewery,” Karanja said.

The brewery has been locked in a protracted tax war with KRA forcing the company to close down on several occasions.  

Karanja, who addressed the press on Friday flanked by workers, vowed to soldier on, noting that at the height of its operations, the company was remitting over Sh200 million to the exchequer every month.

She said Sh332 million tax arrears, which are the genesis of the current crisis, had accrued from February 2021 which saw the firm reach a deal with KRA on how to resettle it.

“However in December 2021, KRA closed the factory and further issued agency notices to 36 banks and we could not produce or access any finances to assist in settling the arrears,” Karanja said.

"Efforts to renegotiate a deal with the KRA Commissioner-Domestic Taxes Department and get revenue stamps had been unsuccessful."

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