Kalonzo calls for KRA meeting over tax row

Vice President Kalonzo Musyoka has called for a meeting of MPs and the taxman in a bid to break the impasse over the payment of tax arrears.

Mr Musyoka, who also announced that he would be getting in touch with the Kenya Revenue Authority to find out how much he owes the taxman in arrears, said the meeting was crucial to agree on a timetable for MPs to remit theirs.

The Vice President’s statement echoes Kathiani MP Wavinya Ndeti’s weekend call that KRA allows MPs to remit their arrears in instalments.

“The Kenya Revenue Authority and the Parliamentary Service Commission should sit down and agree how to go about it (remitting the tax arrears),” the VP said at the launch of the Kenya Year Book at Laico Regency Hotel Tuesday.

On Wednesday last week, KRA Commissioner for Domestic Taxes John Njiraini warned that the Authority would auction the property of MPs and other top government officials if they don’t pay their taxes. Their bank accounts could also be seized and money recovered, said Mr Njiraini.

But Mr Musyoka said such a move would be counterproductive. “It is not proper for the taxman to punish or impose penalties by attaching assets of MPs,” he said.

According to Mr Musyoka, media has demonised MPs and portrayed them out to evading paying taxes.

“We have been paying taxes only for these enhanced payments. Let us not demonise the legislators over this matter. Be kind to us because as MPs, we are willing and ready to pay.”

He said he would get in touch with KRA Commissioner Michael Waweru Tuesday to be told how much he owes the taxman in tax arrears before he settles it.

Previous reports put Mr Musyoka and House Speaker Kenneth Marende at par, owing the taxman Sh5.1 million each. But the VP dismissed the figure as mere speculation.

“I don’t know how much I have in tax arrears. I am going to call the KRA Commissioner this morning (Tuesday) to be told how much I am obligated to pay,” he said.

Prime Minister Raila Odinga and presidential hopeful Mutava Musyimi on Monday remitted a combined Sh5.4 million to KRA in tax arrears as pressure mounted on MPs to pay taxes in the spirit and letter of the constitution.

“I have paid, because that is the law. The Constitution does not exempt anybody, let alone MPs, from paying taxes,” Mr Odinga said at a press conference in his office after visiting Times Towers offices of KRA on Monday.

“The Constitution does not distinguish salary, allowances or other benefits.”

The Prime Minister also asked President Kibaki, Vice President Kalonzo, MPs and other constitutional office holders to pay up.

Without mentioning the Premier by name, Mr Musyoka said paying taxes should not be a showbiz affair. Mr Odinga lined up Monday at KRA offices in front of cameras to remit his dues and later held a press conference at his office.

Speaking at the same function, Information minister Samuel Poghisio said he was willing to pay taxes but asked for ample time from KRA to be allowed to settle the bill.