Tax woes: KPL now stops monthly grant to Gor Mahia

The premier body confirm to Goal that they have discontinued remitting Sh500, 000 to K’Ogalo until the club sorts out tax demands from KRA
By Otieno Otieno

Kenyan Premier League has confirmed they have stopped remitting monthly grants to Gor Mahia until the league champions sort out their tax issues with Kenya Revenue Authority.

Gor Mahia have been slapped with a Sh118million tax demand by Kenya Revenue Authority. According to KPL Chief Executive Jack Oguda, they were advised to withhold Gor Mahia’s grants by the tax man until the club sorts out the issue.

“It is true we have stopped remitting Gor Mahia’s monthly grant. We are also happy that they are sorting out the issue and hopefully they will be able to receive the money to help them in their day to day activities,” Oguda exclusively told Goal.

Kenya Premier League gives Sh500, 000 to all 16 clubs every month as part of broadcast sponsorship from SuperSport.

The latest action comes in the heels of a number of problems bedeviling the club, which recently declared that they are broke and even launched a pay bill number for fans to contribute money.

K'Ogalo recently lost shirt sponsorship after Tuzo pulled out and is in urgent need of money to finance its Sh4.5million per month budget. Gor Mahia could also face serious sanctions from World body Fifa over the irregular signing of midfielder Patrick Oboya.

The champions face Sony Sugar in Nakuru this weekend and could end up using Tuzo branded shirts for the away fixture. Despite all the challenges, K’Ogalo have however, posted straight wins in their last four matches to climb to the top of the log on 20 points.