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tax appeals tribunal act 2013

Introduction

The Tax Appeals Tribunal Act, 2013, is a significant piece of legislation in Kenya that establishes the Tax Appeals Tribunal. This Tribunal is responsible for hearing and determining appeals related to tax disputes between taxpayers and the Kenya Revenue Authority (KRA). The Act outlines the structure, jurisdiction, and procedures of the Tribunal, providing a framework for resolving tax disputes in a fair and efficient manner.

Table of Contents

  1. Overview of the Tax Appeals Tribunal Act, 2013

  2. Establishment and Composition of the Tribunal

  3. Jurisdiction of the Tribunal

  4. Procedures and Processes

  5. Powers and Functions of the Tribunal

  6. Appeals and Further Legal Recourse

  7. Conclusion

1. Overview of the Tax Appeals Tribunal Act, 2013

The Tax Appeals Tribunal Act, 2013, was enacted to provide a legal framework for the establishment and operation of the Tax Appeals Tribunal. The Act aims to ensure that tax disputes are resolved in a timely, fair, and transparent manner. It addresses various aspects of the Tribunal's operations, including its composition, jurisdiction, procedures, and powers.

Sources:

  • Tax Appeals Tribunal Act, 2013

2. Establishment and Composition of the Tribunal

2.1 Establishment

The Act establishes the Tax Appeals Tribunal as an independent body responsible for hearing and determining tax disputes. The Tribunal operates under the Ministry of Finance but maintains its independence in decision-making.

Sources:

  • Section 3, Tax Appeals Tribunal Act, 2013

2.2 Composition

The Tribunal consists of a Chairperson and other members appointed by the Cabinet Secretary for Finance. The Chairperson must be a person qualified to be appointed as a judge of the High Court, while the other members should have expertise in tax matters, law, or accounting.

Sources:

  • Section 4, Tax Appeals Tribunal Act, 2013

3. Jurisdiction of the Tribunal

The Tribunal has jurisdiction to hear and determine appeals against any tax decision made by the Commissioner of the Kenya Revenue Authority. This includes decisions related to income tax, value-added tax (VAT), customs and excise duties, and other taxes administered by the KRA.

Sources:

  • Section 12, Tax Appeals Tribunal Act, 2013

4. Procedures and Processes

4.1 Filing an Appeal

A taxpayer who is dissatisfied with a tax decision made by the Commissioner can file an appeal with the Tribunal. The appeal must be filed within 30 days from the date of the decision. The appellant is required to submit a notice of appeal, along with the relevant documents and a fee.

Sources:

  • Section 13, Tax Appeals Tribunal Act, 2013

4.2 Hearing and Determination

The Tribunal conducts hearings in a manner that ensures fairness and transparency. Both the appellant and the Commissioner have the right to be heard and to present evidence. The Tribunal may also summon witnesses and require the production of documents.

Sources:

  • Section 15, Tax Appeals Tribunal Act, 2013

4.3 Decision

After considering the evidence and submissions, the Tribunal makes a decision, which may confirm, vary, or set aside the tax decision in question. The decision must be made within 90 days from the date of the hearing.

Sources:

  • Section 16, Tax Appeals Tribunal Act, 2013

5. Powers and Functions of the Tribunal

The Tribunal has the power to:

  • Summon witnesses and require the production of documents.

  • Administer oaths and affirmations.

  • Make orders for the payment of tax, interest, and penalties.

  • Award costs to either party.

  • Make any other orders necessary for the determination of the appeal.

Sources:

  • Section 17, Tax Appeals Tribunal Act, 2013

6. Appeals and Further Legal Recourse

If a party is dissatisfied with the decision of the Tribunal, they can appeal to the High Court on a point of law. The appeal must be filed within 30 days from the date of the Tribunal's decision. The High Court's decision is final, but further appeals can be made to the Court of Appeal with leave.

Sources:

  • Section 32, Tax Appeals Tribunal Act, 2013

Conclusion

The Tax Appeals Tribunal Act, 2013, plays a crucial role in the Kenyan tax system by providing a structured and independent mechanism for resolving tax disputes. The Act ensures that taxpayers have a fair opportunity to challenge tax decisions and that such disputes are resolved efficiently and transparently. By outlining the establishment, jurisdiction, procedures, and powers of the Tribunal, the Act contributes to the overall integrity and effectiveness of the tax administration system in Kenya.

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