NTSA and Registration of Transit Uncustomed Duty Unpaid Cars>Tax Consultant Kenya

Section 200 of EACCMA>>>> A person who— (a) imports or carries coastwise(i) any prohibited goods, whether or goods are unloaded; or(d) acquires, has in his or her possession, keeps or conceals, or procures to be kept or concealed, any goods which he or she knows, or ought reasonably to have known, to be (iii) uncustomed goods, commits an offence and shall be liable on conviction to imprisonment for a term not exceeding five years or to a fine equal to fifty percent of the dutiable value involved, or both.

Section 206 of EACCMA>>>> A person who, on finding any uncustomed goods on land or floating upon, or sunk in, the sea, fails to report such discovery to the nearest officer commits an offence………….
Section 208 of EACCMA>>>>A person who aids, abets, counsels or procures the commission of an offence under this Act shall be deemed to have committed such offence………….
Section 223 of EACCMA>>>>In any proceedings under this Act- (a) the onus of proving the payment of the proper duties,importation, landing, removal,of any goods shall be on the person prosecuted or claiming anything seized under this Act;
223 of EACCMA>>>>>In any proceedings under this Act-(i) any certificate or copy of a document purporting to be signed or issued by or under the authority of any institution, organisation or firm recognised and authorised and by the Government under any agreement and produced by the Commissioner shall be admissible in evidence and shall be evidence of the matters contained therein;
Analysis

A duty unpaid Car has been illegally registered by NTSA, You buy it after confirming everything is in order at NTSA. If you are caught you pay a fine of 50% of the cost of vehicle and pay the taxes that were due. Assume the customs value of a vehicle is Kshs 1,000,000, Import Duty 25%, Excise Duty 25%, VAT 16%, IDF-3.5%, RDL-2%
The fine will be 50% of 1,000,000=500,000 Taxes =867,5000
If the courts can admit a document from GOK institutions as evidence (section 223), then how can an individual,doubt NTSA records.

It is the NTSA officers and the person who registered the Car, who should be charged under sections 206, and 208. A number of Cars have been seized by DCI and KRA due to section 200. The Kenyan bought the vehicle at Market rates, unwittingly. from a seller after confirming ownership and Duty payment status from NTSA. Section 200 talks of ‘’ ought reasonably to have known’’, therefore this section might not apply to a person whose Car is illegally registered in the NTSA system. I think,the sections under which Kenyans who bought Cars, that are illegally registered in the NTSA system should be handled under other customs laws, section 200 should be applied to the sellers and the NTSA officers. NTSA has access to the KRA customs system ∴ the Tax payment status of a car before registration is available to them.
Wachana na gari ya daddy. Kid to DCI and KRA (during seizure).

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