Kenya Revenue Authority (KRA) has faced defeat in a prolonged tax dispute with Bidco Oil Refineries, amounting to $1.38 billion. This marks a significant relief for the consumer goods manufacturer. The High Court, under Judge JWW Mong’are’s decision, ruled that the KRA’s demand, which accused Bidco of undervaluing certain imported oils, was unfounded.
KRA initially issued a demand letter in 2012, seeking payment, including interest and penalties. The legal tussle began in 2010 when KRA demanded $702 million from Bidco, ultimately leading to a favorable ruling from the Customs and Excise Appeals Tribunal in December 2020.
