[2020] KEHC 10288 (KLR)
The court found that the facts and issues in this application were identical to those in Income Tax Appeal No. 3 of 2018, for which a similar application for stay had been allowed. The court exercised its discretion to grant a stay of execution of the judgment pending appeal, on condition that the appellant deposits...
Source-derived case information.
- Citation
- [2020] KEHC 10288 (KLR)
- Parties
- Appellant: W E C Lines (Kenya) Limited; Respondent: The Commissioner of Domestic Taxes
- Court
- High Court
- Court Station
- High Court at Nairobi (Milimani Law Courts)
- Jurisdiction
- Kenya
- Case Number
- Income Tax Appeal 29 of 2017
- Procedural Posture
- Income Tax Appeal / Ruling on Application for Stay Pending Appeal
- Outcome
- application for stay of execution allowed with conditions
- Judges
- F Tuiyott
- Legal Topics
- Stay of Execution, Security for Costs, Income Tax Assessment
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
More case intelligence is available
Unlock the full research layer for this judgment.
Parties
W E C Lines (Kenya) Limited
Appellant
The Commissioner of Domestic Taxes
Respondent
Procedural Posture
Income Tax Appeal / Ruling on Application for Stay Pending Appeal
Legal Issues
- 1 Whether the appellant is entitled to a stay of execution of the judgment pending appeal.
- 2 What conditions should be imposed for the grant of stay of execution.
Ratio Decidendi
The court found that the facts and issues in this application were identical to those in Income Tax Appeal No. 3 of 2018, for which a similar application for stay had been allowed. The court exercised its discretion to grant a stay of execution of the judgment pending appeal, on condition that the appellant deposits a sum equivalent to 20% of Kshs.90,513,018 in a joint interest earning account in the names of the parties' advocates within 60 days. Failure to comply with this condition would result in the lapse of the stay order. The court considered the need to balance the interests of both parties and to ensure that the appeal is not rendered nugatory while also securing the respondent's...
Court Disposition
application for stay of execution allowed with conditions
Orders
- Stay of execution of the judgment delivered on 7th February 2020 is granted pending appeal.
- The appellant shall deposit a sum equivalent to 20% of Kshs.90,513,018 in a joint interest earning account in the names of the parties' advocates within 60 days.
Full Case Text
Judgment text and source record
22 paragraphs
REPUBLIC OF KENYA
IN THE HIGH COURT OF KENYA AT NAIROBI
MILIMANI LAW COURTS
COMMERCIAL & TAX DIVISION
INCOME TAX APPEAL NO. 29 OF 2017
W E C LINES (KENYA) LIMITED.............................................APPELLANT
VERSUS
THE COMMISSIONER OF DOMESTIC TAXES .................RESPONDENT
RULING
1. This Appeal was alongside Income Tax Appeal(ITA) No. 3 of 2018 and others argued together and one Judgment delivered on 7th February 2020. The Appellant has filed a Notice of Motion signifying its intention to appeal against that decision and now seeks its stay through an application of 16th March 2020.
2. This Court has just delivered its Ruling in ITA No. 3 of 2018. The facts and issues raised here are in parity with that matter.
3. I reach a similar decision. The Application of 16th March 2020 is allowed. Stay is granted on condition that the Appellant deposit a sum equivalent to 20% of Kshs.90,513,018/= in a joint interest earning account in the names of the lawyers of the parties within 60 days hereof. In default, the stay order shall lapse.
Dated, Signed and Delivered in Court at Nairobi this 24th Day of August 2020
F. TUIYOTT
JUDGE
ORDER
In view of the declaration of measures restricting Court operations due to the COVID-19 pandemic and in light of the directions issued by his Lordship, the Chief Justice on 17th April 2020, this Ruling has been delivered to the parties through virtual platform.
F. TUIYOTT
JUDGE
PRESENT:
Mr Ruto for the Applicant.
Miss Miruka for the Respondent.