DP Rigathi Gachagua has slammed KRA and the previous government for shutting down a Thika-based factory over tax row.
In a meeting with the Kenya Manufacturers Association on Friday morning, Gachagua faulted the move saying that in three years, the country lost billions that could have been useful.
He however said that such instances will not be witnessed in their administration.
“I have repeatedly given the example of the African distillers factory in Thika owned by Humphrey Kariuki. That factory was paying about Kshs50 million in terms of tax every month. They sent DCI there, shut it down, arrested Humphrey Kariuki, locked him up for four days with ordinary criminals and KRA lost 50 million every month and for 3yrs we have lost Ksh.1.8B, money that we need in this country. It was a foolish decision and such things will not happen in the Ruto administration.,” the DP said
According to him, any sensible tax collector would have reached a consensus with the factory on how to increase the Kshs50 million tax they were paying but allow the factory to operate while still remitting that Ksh50 million to the taxman.
At the same time, he urged KRA to collect taxes in a dignified manner while likening tax payers to dairy cows.
“Is there a KRA Deputy Commissioner here, you are here, sit down and listen good. Tax payers are your dairy cow. For a cow to produce milk, you have to be very nice to it. You have to give it hay, dairy meal, milk it with good oil so that it feels good. Europeans go a step further, they play country music to cows to produce milk. Look after taxpayers the way you look after a good dairy cow to continue producing milk. There is no cow that will produce milk when you are pricking it and shouting at it,” Gachagua said.
“The issue of closing factories for taxpayers who are suffering is a thing of the past because it is foolish. The issue of tax notices where you close accounts, if you shut down an account for 6 months, somebody can not do business, where will you collect tax the next year for the benefit of the country?” he posed.
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