Kenya Power Smart Meter Supplier Loses Ksh317.9 Million Tax Appeal to KRA
Share
Harley Berry Limited, a contractor for Kenya Power, has lost its appeal against a Ksh 317.9 million Value Added Tax (VAT) assessment after the Tax Appeals Tribunal upheld the Kenya Revenue Authority’s ruling.
The Tribunal rejected Harley Berry’s appeal on the basis that the company had not produced the documents to substantiate its disputed input VAT claims for the 2022, 2023 and 2024 tax years.
Harley Berry then took the matter to the Tribunal because there had not been sufficient time to gather the necessary supporting records from its archives and its suppliers.
However, the Tribunal observed that Harley Bery had not produced the documents relied upon to support its input tax claims.
They had not produced invoices, supplier confirmations, bank statements or other documents required under Section 17(3) of the VAT Act.
“The appellant failed to file documents to demonstrate that the respondent erred in confirming the assessment,” the Tribunal said in its judgment dated August 14, 2026.
The Tribunal also held that the taxpayer bears the burden of proving that a tax decision is incorrect. It concluded that Harley Berry failed to meet this burden and prove that the input VAT in question was claimable.“The appellant provided none of the documents needed to support its VAT claims,” the Tribunal stated.
Also Read: Safaricom Introduces New Feature for Checking M-PESA Transaction and Withdrawal Fees Instantly-How it Works.
Tax Dispute is Unrelated to Harley Berry’s Ksh 2.9 Billion Smart-Meter Contract
The tax dispute is a stand-alone issue from the first Kenya Power smart-meter contract awarded to Harley Berry in 2023.
Harley Berry Limited received a Ksh 2.9 billion contract to supply 320,800 smart meters. Parliament and the Senate later investigated the contract, but neither inquiry found any corruption or irregularities by the company in the procurement process.
Also Read: Relief for Farmers as Fertilizer Price Falls to KSh2,000, Maize Seed Cost Halved
Tribunal Dismisses Appeal Regarding VAT Assessment, Affirming KRA’s Decision
The Tribunal therefore dismissed the appeal, upheld KRA’s decision on the objection, and directed each party to bear its own costs.
Follow our WhatsApp channel for instant news updates.
The Court dismissed Harley Berry’s appeal after finding that the company failed to provide documents supporting its disputed input VAT claims for the 2022, 2023 and 2024 tax years. Credits PCS