German engineering and technology company Siemens has moved to court seeking to compel the Kenya Revenue Authority (KRA) to pay a Sh467.2 million tax refund it says has remained outstanding since 2022.
Siemens has filed a judicial review case at the High Court, arguing that KRA failed to determine its refund application within the statutory 90-day period.
According to court documents, Siemens submitted its refund application on October 31, 2022, and KRA received it on November 1, 2022.
The company wants the court to declare that KRA’s failure to determine the application within the required period was unlawful, unreasonable and procedurally unfair.
Siemens argues that under Section 47(3) of the Tax Procedures Act, the refund was deemed to have been ascertained and approved with effect from January 30, 2023.
The company is seeking an order compelling KRA to process and pay the Sh467,225,012 refund.
Siemens is also seeking interest at the rate of one per cent per month on the principal amount from December 1, 2024, until the refund is paid in full.
The company further wants KRA to bear the costs of the case.
Siemens argues that KRA’s continued retention of the funds violates constitutional protections relating to taxation and property.
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