• Latest
  • All
  • How To
Pesapal seeking VAT tax exemption moves to court

Pesapal Gets High Court Reprieve From KRA

June 21, 2023
ios 26 apple

iOS 26: New Features To Expect Ahead of June 9 Launch

June 5, 2025
CA ranked by ITU as best in Africa ICT regulations

Kenya’s ICT Regulation Surpasses US, Crowned Africa’s Best by UN

June 5, 2025
Kenya startup funding growth

New Report: Startup Growth at Risk Due to Foreign Funding Dependence

June 5, 2025
Apple Airpods

AirPods Could Soon Answer Calls and Snap Photos Hands Free

June 5, 2025
DHgate Tablet Cases deals
instagram-edits

Instagram Adds Teleprompter to Edits App in Bid to Rival CapCut

June 5, 2025
Sora

Microsoft Brings Sora AI Video Creator to Bing App

June 5, 2025
google-ai-edge-gallery

New Google App Lets You Use AI Offline on Android

June 5, 2025
adobe-photoshop-iphone

Adobe Launches Photoshop Beta App for Android

June 5, 2025
Material 3 Expressive

Gmail and Messages Get a Colorful Makeover

June 5, 2025
Rose Njeri, the creator of Civic Email

Rose Njeri Charged With Cybercrime for Letting Kenyans Email Their MPs

June 3, 2025
Infinix Hot 60 Pro+ Leaked Design

Infinix Hot 60 Pro+ Could Be the World’s Thinnest Curved Display Phone

June 3, 2025
Infinix Note 50 Pro Review

Infinix Note 50 Pro Review: A Budget Phone Shouldn’t Be This Good

Techweez | Tech News, Reviews, Deals, Tips and How To
  • News
  • Entertainment
  • Reviews
  • Features
  • Editorial
No Result
View All Result
Techweez | Tech News, Reviews, Deals, Tips and How To
  • News
  • Entertainment
  • Reviews
  • Features
  • Editorial
No Result
View All Result
Techweez | Tech News, Reviews, Deals, Tips and How To
No Result
View All Result

Pesapal Gets High Court Reprieve From KRA

Sakwa Kombo by Sakwa Kombo
June 21, 2023
in News
Reading Time: 2 mins read
250
0
Pesapal seeking VAT tax exemption moves to court

Pesapal was able to secure a temporary injunction following an appeal at the high court. The injunction halts Kenya Revenue Authority (KRA) efforts to have the company pay more than Ksh 100 million.

The injunction is valid until the appeal is determined.

“The stay of execution and or collection of taxes based on the judgment of the Tribunal is granted pending hearing and determination of the appeal on the terms hereunder,” ordered Justice David Mayanja said in his ruling.

Furthermore, the high court directed Pesapal to get to get a bank guarantee for Sh10 million within 21 days from the date of the ruling. In the event the payment provider fails to do so, the court order will lapse.

As of now, the order shall stay in force for a period of one year. Additionally, the court will offer directions on the order on 7th of July.

Pesapal Had Lost Tribunal Appeal

Pesapal had lost a Ksh 233 million fight with KRA. The company  which offers online payment services that integrate with various banks, mobile e-money transfer platforms argued that it should be exempt from value-added tax (VAT). The firm claims it offers its services on a commission basis.

For this reason, the firm had appealed to a KRA tribunal to have its services VAT exempt.

Nonetheless, a tribunal chaired by Eric Wafula ruled that Pesapal does not qualify as a financial service provider under the VAT Act. Hence, the tribunal found the company unqualified for the exemption.

In its findings, the tribunal stated that Pesapal would need to be registered as a financial institution under the Banking Act to offer financial services.

In conclusion, the tribunal found that Pesapal services do not amount to a financial service. However, the tribunal stated the firm only facilitates payment processes on behalf of other parties. In brief, they stated the company is an IT system that facilitates financial services.

Following the decision by the tribunal, Pesapal sought redress at the high court last week.

Tags: Pesapal
SendShare148Tweet93
Sakwa Kombo

Sakwa Kombo

My Bio is in my written articles.

Related Posts

Central Bank of Kenya Kenya Quick Response(QR) Code Standard 2023

Kenya Launches QR Code Standard: What You Need to Know

May 3, 2023
Pesapal Launches Automated Payment Solution for Petrol Stations

Pesapal Launches Automated Payment Solution for Petrol Stations

January 26, 2023
kenya power

How to Buy Kenya Power Tokens Without Transaction Charges

December 9, 2022
Pesapal is Live in Uganda Following Approval by the Country’s Central Bank

Pesapal is Live in Uganda Following Approval by the Country’s Central Bank

June 28, 2022
pesapal mobile app announced

PesaPal Introduces New Payments App for Android and iOS

March 5, 2019
Pesapal Payments Carriers

Pesapal Integrates Multiple Payment Channels for Low-Cost Carriers

January 30, 2019

Latest

ios 26 apple

iOS 26: New Features To Expect Ahead of June 9 Launch

June 5, 2025
CA ranked by ITU as best in Africa ICT regulations

Kenya’s ICT Regulation Surpasses US, Crowned Africa’s Best by UN

June 5, 2025
Kenya startup funding growth

New Report: Startup Growth at Risk Due to Foreign Funding Dependence

June 5, 2025
Apple Airpods

AirPods Could Soon Answer Calls and Snap Photos Hands Free

June 5, 2025
instagram-edits

Instagram Adds Teleprompter to Edits App in Bid to Rival CapCut

June 5, 2025
Sora

Microsoft Brings Sora AI Video Creator to Bing App

June 5, 2025

Best devices

budget smartwatches 2025

Best Budget Smartwatches To Buy in Kenya 2025

February 13, 2025

Best Infinix Smartphones To Buy in Kenya 2024

February 13, 2025

Best Laptops for Battery Life in 2024

August 21, 2024

Best “Battery Warrior” Smartphones To Buy in 2024

August 22, 2024

iOS 26: New Features To Expect Ahead of June 9 Launch

June 5, 2025

Kenya’s ICT Regulation Surpasses US, Crowned Africa’s Best by UN

June 5, 2025

Techweez is a fast growing influential source of technology news, reviews and analysis by leading tech geeks in the industry.

Follow Us

Editorials

Actors and Film Crews Are Worried About Veo 3 Taking Their Jobs

Samsung QLED TVs Now Officially Certified for Real Quantum Dot Technology

Trump’s Tariffs Will Be the End of Affordable Tech

5 Ways to Prep Your Tech for Resale

The Weaponization of PDFs: How Cybercriminals Are Exploiting a Trusted Format

Introducing A Brainbox Quiz: Techweez’s Monthly Trivia Night!

More News

New Google App Lets You Use AI Offline on Android

Adobe Launches Photoshop Beta App for Android

Gmail and Messages Get a Colorful Makeover

Rose Njeri Charged With Cybercrime for Letting Kenyans Email Their MPs

Infinix Hot 60 Pro+ Could Be the World’s Thinnest Curved Display Phone

Infinix Note 50 Pro Review: A Budget Phone Shouldn’t Be This Good

  • Terms Of Use
  • Techweez Brand
  • Privacy & Policy
  • Contact Us

© 2024 Techweez - Palahala Media Group may earn a commission when you buy through links on our sites.
A Palahala Media Group Brand. All rights reserved.
.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

Techweez | Tech News, Reviews, Deals, Tips and How To
Crunchy Cookies 🍪 Ahead!

Hey there! Just a heads-up: we're big fans of cookies - both the digital and edible kind! 🍪 We use our cookies and some from third parties to ensure your browsing experience on our site is smooth sailing and secure.

 

But wait, there's more! We also use cookies to gather stats and insights on how you navigate our site. It's like getting a behind-the-scenes peek at your digital adventures!

 

Don't worry, you're in control. You can adjust your cookie settings anytime to suit your preferences. Feeling curious? Dive into our Privacy Policy for all the juicy details. Happy browsing! 🚀

Functional Always active
Listen, this legal stuff is about as exciting as watching paint dry. But it basically says we only use your stuff for what you asked us to do, and nobody else gets to peek!
Preferences
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
Statistics
It's those sneaky cookie crumbs websites leave behind to count visitors, like counting ants at a picnic! Totally harmless, just for fun facts. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
Marketing
Hey there! Just letting you know we use some fancy gizmos to remember your preferences. This way, we can show you ads that are, well, not completely bananas.
Manage options Manage services Manage {vendor_count} vendors Read more about these purposes
Make cookies
{title} {title} {title}
Techweez | Tech News, Reviews, Deals, Tips and How To
Crunchy Cookies 🍪 Ahead!
To provide the best experiences, we use technologies like cookies to store and/or access device information. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site. Not consenting or withdrawing consent, may adversely affect certain features and functions.
Functional Always active
Listen, this legal stuff is about as exciting as watching paint dry. But it basically says we only use your stuff for what you asked us to do, and nobody else gets to peek!
Preferences
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
Statistics
It's those sneaky cookie crumbs websites leave behind to count visitors, like counting ants at a picnic! Totally harmless, just for fun facts. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
Marketing
Hey there! Just letting you know we use some fancy gizmos to remember your preferences. This way, we can show you ads that are, well, not completely bananas.
Manage options Manage services Manage {vendor_count} vendors Read more about these purposes
Make cookies
{title} {title} {title}
No Result
View All Result
  • News
  • Reviews
  • Features
  • Editorial
  • Automotive
  • Entertainment

© 2024 Techweez - Palahala Media Group may earn a commission when you buy through links on our sites.
A Palahala Media Group Brand. All rights reserved.
.