The Office of the Directorate of Public Prosecution has approved charges against 5 individuals & 12 companies linked to a scheme to defraud the government of Kes 3.9 billion worth of Value Added Tax (VAT). The 5 are alleged to have been involved in registering 70 companies that were instrumental in executing the scheme. Upon review of the files, the DPP approved prosecution in 36 cases involving transactions valued at approximately Kes 3.2 billion, resulting in an alleged VAT loss of about Kes 518.0 million. If you are not sure where to start with the 'Missing Trader', see quoted tweet.

UPDATE: The Revenue Authority says it will kick off stakeholder engagement on embedding a Stock Taking & Management module onto eTIMS. The Authority says the stakeholder fora will take place within September 2026. Musings: 1. This further tightens eTIMS & its use in incomes & expenses validation by the Revenue Authority 2. Once embedded onto eTIMS, the Stock Taking & Management module should grant the Revenue Authority of the movement of stock in a business 3. The import here is that if you are one of those who have been doing some sales without an electronic invoice so as to avoid visibility for tax purposes, your goose is cooked 4. At any given point, the movement in your stock will be required to align with the invoices captures in your iTax ledger & any misalignment will invite scrutiny When eTIMS Regulations came out in Jan 2024, I captured this bit & how much clarity would be required (see quoted tweet)