Tax Appeals Tribunal has dismissed an application by Subru Motors Limited that sought a stay of collection of taxes amounting to Sh181,406,247.
The controversial car dealer wanted the Tribunal to order for stay of execution of its judgment delivered on July 10, 2020 in favour of the Kenya Revenue Authority.
KRA argued that the law (Section 18 of the Tax Appeals Tribunal Act,2013) allows the tribunal to order for stay of its own judgment.
The taxman challenged Subru’s application arguing that the Tribunal was rendered functus officio the moment it delivered the judgment.
It further reasoned that there is no provision under the act or rules made thereunder conferring jurisdiction to the Tribunal to order for stay of execution.
While cementing its ruling in favor of the KRA, the tribunal also affirmed that there is no specific provision of law permitting it to stay its own orders.
In 2018, Subru Motors was embroiled in another controversy after Nairobi Governor Mike Sonko warned them to vacate the library land where it sits.
“After reverting the Gigiri fire station plot back to public use last week, we wish to report to the general public that after thorough investigations and perusal of all the records at the ministry of Lands and the City County of Nairobi, we shall proceed to reclaim SUBRU MOTORS LAND along the James Gichuru Road in Lavington…,” Sonko said in Facebook post.