KRA demands Sh118 million from Gor Mahia

The tax men have issued a Sh118million tax demand on Kenyan league champions further complicating team's precarious financial position

Kenyan champions Gor Mahia have been slapped with a Sh118million income tax demand note hardly a month after the team lost their shirt sponsorship.

In a move that is likely to complicate club’s precarious financial position, Kenya Revenue Authority (KRA) has demanded that Gor Mahia pays the money or risk accruing further fines.

The authority wrote to Gor Mahia last week demanding the money and copied the letter to Kenyan Premier League. According to KPL Chief Executive Officer Jack Oguda they have rescheduled a meeting with Gor Mahia officials on Wednesday to discuss the matter.

“We received the letter as agents of Gor Mahia and we do not understand what method was used to arrive at such a figure. We will meet with club officials and discuss way forward," Oguda revealed to Goal.

Gor Mahia Secretary General Chris Omondi insisted that the club is consulting income tax experts before engaging KRA though officials of the club had met the tax men last week.

“Our position is that Gor Mahia is a society and therefore, are not supposed to pay taxes. On the question of income tax, it is a very tricky area and we are asking why only Gor Mahia has been asked to pay such an amount of money.

“We have also demanded an explanation as to how the figure was arrived at because it looks like there was a lot of estimations. We are having a second meeting and hopefully it can be explained to us."

The move to tax K’Ogalo comes hardly four months after the tax men issued demand notes to various top athletes to pay taxes. The move was widely criticised by athletes and some even threatened to boycott representing the country in major events.

 

“Our position is that Gor Mahia is a society and therefore are not supposed to pay taxes. On the question of income tax, it is a very tricky area and we are asking why only Gor Mahia has been asked to pay such an amount of money. See Also: Ready for top 8 tie: Gor first choice goalkeeper explains why he was away “We have also demanded an explanation as to how the figure was arrived at because it looks like there was a lot of estimations. We are having a second meeting and hopefully it can be explained to us,” said Omondi.
Read more at: http://www.standardmedia.co.ke/sports/article/2000110030/kra#/
“Our position is that Gor Mahia is a society and therefore are not supposed to pay taxes. On the question of income tax, it is a very tricky area and we are asking why only Gor Mahia has been asked to pay such an amount of money. See Also: Ready for top 8 tie: Gor first choice goalkeeper explains why he was away “We have also demanded an explanation as to how the figure was arrived at because it looks like there was a lot of estimations. We are having a second meeting and hopefully it can be explained to us,” said Omondi.
Read more at: http://www.standardmedia.co.ke/sports/article/2000110030/kra#/
“Our position is that Gor Mahia is a society and therefore are not supposed to pay taxes. On the question of income tax, it is a very tricky area and we are asking why only Gor Mahia has been asked to pay such an amount of money. See Also: Ready for top 8 tie: Gor first choice goalkeeper explains why he was away “We have also demanded an explanation as to how the figure was arrived at because it looks like there was a lot of estimations. We are having a second meeting and hopefully it can be explained to us,” said Omondi.
Read more at: http://www.standardmedia.co.ke/sports/article/2000110030/kra#/
“Our position is that Gor Mahia is a society and therefore are not supposed to pay taxes. On the question of income tax, it is a very tricky area and we are asking why only Gor Mahia has been asked to pay such an amount of money. See Also: Ready for top 8 tie: Gor first choice goalkeeper explains why he was away “We have also demanded an explanation as to how the figure was arrived at because it looks like there was a lot of estimations. We are having a second meeting and hopefully it can be explained to us,” said Omondi.
Read more at: http://www.standardmedia.co.ke/sports/article/2000110030/kra#/