How Do They Owe Tax If They're Not Making Profits

The meaning of tax is a portion of profits. Utalipaje tax kama hujaunda doo. Seems like they need to hire new lawyers

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Who said Taxes are based on Profits?.. :D:D:D

Even if on gross income, you can deduct losses from the tax bill in a normal functioning system

They were earlier assessed not to have been remitting full taxes for many years. They were taken to court and agreed with KRA on a plan to offset the arrears. Then corona happened, hitting their revenues, and making them unable to stick to the plan.

Mickymouse, have you never heard of backdated tax remittance? Stop showcasing your ignorance.

I Know that. But they made losses in 2021, which they could use to cover tax payments this year. They lack clever lawyers and accountants

That’s the point. You have to file taxes and show how and where you lost money.

How did you expect KRA to know they lost money? This is why people are telling you you’re displaying ignorance.

Quit repeating the same shit over and over… :D:D:D

If they made losses during corona, that should form a basis for renegotiating their repayment plan. KRA should not be in the business of stifling home grown industry with punitive conditions.

If Keroche goes under due to pressure, KRA will lose the amount owing, plus any future taxes the company would have remitted

My goodness. The biggest share of taxes does not come from Income Tax. It’s from PAYE and VAT

Message received. Don’t compete with dynasty

If they are renegotiating I do not think the talks are in the public dormain.

Excse tax, VAT, PAYE are not based on profits… And since they were not compliant for many years, there must be significant penalties, fines and interest on income tax in previous years when they used to make profit…

Ktallk finacial experts coming out of the woodwork:D:D:D:D:D

Taxes on ethanol purchases ndio inawakula

The reason Keroche was in trouble was they understated taxes in yesteryears. Which resulted in a payment plan to KRA to save their asses. Now if they lost money during Covid , all they had to do was renegotiate the payment plan.

They understated taxes on products for years. It’s a fact and in public domain. They would under declare alcohol content in different brands leading to lower taxes due. But the government nabbed them.
But it’s a political year. Blame it on the boogie man.

Ohhh. Where was the taxman when Raila’s ethanol firm was caught dodging taxes? Where was the taxman when CBA/NIC got a 400 million tax relief from the taxman?

makamasi jifunze kunyamaza

KRA muache upuss ya kusumbua … mama pima.

even then, why should I pay tax if am not making anything, you guys are not seeing what am seeing. Hii ni serfdom where you pay a set amount to the government whether yo make money or not. How can you claim to be a business if you are not doing any business. Yani uamkange kila siku ukatafutie serikali pesa