Kenyan Bars deny KRA Ksh.6.3 Billion in Taxes Due to Closures

​New data from the 2021 Economic Survey shows excise revenue levied on alcoholic beverages (beer, wines and spirits) fell to Ksh.34.8 billion from Ksh.41.4 billion in 2019. Newly directed curfew laws by the president, consequent bar and restaurant closures and other related limitations has resulted in unrealised Ksh.6.3 billion revenue for the Kenya Revenue Authority (KRA).
In this category, beer was the most hit having fallen from Ksh.27.8 billion to Ksh.19.1 billion attributed to the reduced on-trade activities (when a customer consumes a beer at the premises). Notwithstanding, excise revenue collections from wines and spirits went against the trend having risen by 15.4 per cent to Ksh.15.7 billion in 2019. In this regard, data from East African Breweries Limited (EABL) shows higher uptake for drinks in the wines & spirits category, particularly gin which has registered increased popularity in the country.
In a move to accommodate bar owners, the government has subsequently adjusted operational hours but with constraints and a mandated closure pegged at 7pm.

​Source: CitizenTV Digital