[2020] KEHC 9325 (KLR)
The court found that the absence of the letters of assessment, objection, and confirmation—being the foundational documents for the dispute—rendered the record of appeal incomplete and incapable of supporting a just determination of the appeal. Recognizing the overriding objective to facilitate substantive justice...
Source-derived case information.
- Citation
- [2020] KEHC 9325 (KLR)
- Parties
- Appellant: Guaca Stationers Limited; Respondent: Commissioner of Domestic Taxes
- Court
- High Court
- Court Station
- High Court at Nairobi (Milimani Commercial Courts)
- Jurisdiction
- Kenya
- Case Number
- Tax Appeal 24 of 2017
- Procedural Posture
- Tax Appeal / Interlocutory Ruling on Record Completeness
- Outcome
- Appellant directed to file and serve supplementary record of appeal within 7 days; no final determination on merits.
- Judges
- DAS Majanja
- Legal Topics
- Tax Assessment Dispute, Vat Liability, Record of Appeal, Supplementary Filing
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Guaca Stationers Limited
Appellant
Commissioner of Domestic Taxes
Respondent
Procedural Posture
Tax Appeal / Interlocutory Ruling on Record Completeness
Legal Issues
- 1 Whether the appeal can be determined without the letters of assessment, objection, and confirmation forming part of the record.
- 2 Whether the appellant should be allowed to file a supplementary record to include the missing documents.
Ratio Decidendi
The court found that the absence of the letters of assessment, objection, and confirmation—being the foundational documents for the dispute—rendered the record of appeal incomplete and incapable of supporting a just determination of the appeal. Recognizing the overriding objective to facilitate substantive justice and the court's discretion to allow rectification of procedural omissions, the judge directed the appellant to file and serve the missing documents by way of a supplementary record of appeal within seven days. This approach ensures that the appeal can be determined on its merits with a complete factual and procedural background.
Court Disposition
Appellant directed to file and serve supplementary record of appeal within 7 days; no final determination on merits.
Orders
- The appellant shall file and serve the letter of assessment and the letter of objection by way of a supplementary record of appeal within 7 days from the date hereof.
Full Case Text
Judgment text and source record
24 paragraphs
IN THE HIGH COURT OF KENYA AT NAIROBI
MILIMANI LAW COURTS
COMMERCIAL AND TAX DIVISION
CORAM: D.S. MAJANJA J.
TAX APPEAL NO. 24 OF 2017
BETWEEN
GUACA STATIONERS LIMITED....................................................................APPELLANT
AND
COMMISSIONER OF DOMESTIC TAXES..................................................RESPONDENT
(Being an appeal against the judgment of the Tax Appeals Tribunal
on 22nd May 2017 in Nairobi Tax Appeal No. 215 of 2017)
RULING
1. This is an appeal from the decision of the Tax Tribunal dismissing the appellant’s appeal.
2. The respondent carried out an in-depth audit of the appellant for the years 2007 and 2008 and raised assessments on various heads being Income Tax, PAYE, VAT and Withholding Tax amounting to Kshs. 38,409,067/-, Kshs. 4,929,453/-, Kshs. 115,822,812/- and Kshs. 126,706/- respectively. The assessments were communicated to the appellant by a letter dated 30th July 2012.
3. The appellant objected to the assessment by its letter dated 24th August 2012 and lodged an objection notice with the respondent. The respondent dismissed the objections and confirmed the assessment by the letter dated 17th October 2013. The appellant, being aggrieved with the decision to confirm the assessment, lodged an appeal with the Tax Appeals Tribunal (“the Tribunal”).
4. At the hearing of the appeal before the Tribunal, the parties settled several issues by consent except the following issue which was framed for determination, “Whether the Respondent was within the law in confirming the assessment of VAT amounting to Kshs. 10,511,139/- due to failure of the appellant to produce the necessary documents.”In its decision dated 22nd May 2017, the Tribunal dismissed the appeal. It is this decision that has now precipitated this appeal.
5. Unfortunately, the appellant did not furnish the court with the letters of assessment dated 30th July 2012, the letter of objection dated 24th August 2012 and the letter confirming assessment was dated 17th October 2013. All these letters, comprising the original complaint and decision of respondent which was subject of the appeal, are necessary for the determination of this appeal and ought to have been filed by the appellant as part of its record.
6. In the interests of justice and in order to deal with the matter exhaustively, I direct the appellant to file and serve the said letter of assessment and the letter of objection by way of a supplementary record of appeal within 7 days from the date hereof.
DATEDandDELIVEREDatNAIROBIthis___ 17th ____ day of __JANUARY ___ 2020.
D. S. MAJANJA
JUDGE
Court Assistant: Mr M. Onyango.
Mr Wakwaya instructed by Rachier and Amollo Advocates LLP for the appellant.
Mr L. Lemiso, Advocate instructed by the Commissioner of Domestic Taxes.