Kenya Revenue Authority and the Rural Electrification Authority (REA) are locked in a Sh1.85 billion tax arrears battle whose outcome look set to slow down the connection of more Kenyans to the national electricity grid.
The power agency, through Treasury, is pushing the taxman to waive the tax backlog on the grounds that its operations are not profit driven and that it does not sell commodities. It also argues that it was not aware of its tax obligations.
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