Makueni seeks to stop Taita Taveta from collecting taxes in Mtito Andei

Makueni County is fighting court orders allowing only Taita Taveta to issue business permits and collect taxes in Mtito Andei.

Makueni argues that activist Okiya Omtatah obtained the temporary orders by misleading the court and without disclosing the correct facts.

The orders followed Mr Omtatah’s petition seeking to compel Parliament to appoint an independent commission to resolve boundary disputes between Taita Taveta, Kwale and Makueni.

“The petitioner misled this court into believing that the predecessor of Taita Taveta County government was issuing business permits collecting revenues from residents of Mtito Andei town before establishment of county governments,” Makueni’s application says.

Makueni argues that the defunct Mtito Andei town council issued business permits and collected taxes before devolution.

In his supporting affidavit, Kibwezi East Sub-County Administrator Thomas Tuta says Mtito Andei residents had not been subjected to double taxation.

“The petitioner has not provided any evidence to prove the services that the county government of Taita Taveta has been offering to residents of Mtito Andei town to warrant it to collect taxes and revenue,” Mr Tuta says.

He argues that it is unfair to appoint Taita Taveta as the sole authority to issue business permits and collect taxes in Mtito Andei when the county does not render any services to residents.

Makueni wants the orders set aside pending the determination of its application.

Justice Lucas Naikuni temporarily appointed Taita Taveta as the only authority issuing business permits and collecting taxes in Mackinnon Road and Mtito Andei towns as its predecessor did before county governments were established. He extended the orders on Wednesday.

The judge also directed Taita Taveta to deposit all revenues it will collect in an interest-earning bank account opened jointly with Kwale and Makueni, which also claim part of the towns.

The Attorney-General, the Senate and Makueni have also filed notices challenging the jurisdiction of the court to hear the case.

Through State counsel Nguyo Wachira, the AG says that disputes cited in Mr Omtatah’s petition are intergovernmental and the orders sought affect relations between devolved units and the national government.

Mr Wachira argues that the disputes should be resolved within the constitutional and statutory framework of the Intergovernmental Relations Act.

The AG says the petitioner had not exhausted all available forms of dispute resolution and so the petition is not properly before the court.

According to the petition, the disputes have resulted in traders who used to pay taxes to the predecessor of Taita Taveta County being forced to pay taxes twice to two different counties.

“Due to the confusion, traders don’t know which county they should demand services and accountability (from) for the taxes they pay,” the documents say.

Mr Omtatah argues that the centre of the disputes is who collects taxes in the disputed towns, which are key tax collection points.

“The disputes have created tension on the ground and have very high potential of turning violent in the 2022 General Election, hence if unresolved they have the potential of undermining the objectives of devolution and national security,” he says.

Mr Omtatah also wants the Executive arm of the government to survey the towns and erect visible beacons to clearly demarcate the boundaries of all counties in Kenya, with preference given to Taita Taveta and Kwale and Makueni.

He wants the court to rule that forcing traders in Mtito Andei and Mackinnon Road to pay taxes twice is a gross violation of their rights.

Mr Omtatah also wants a declaration that Parliament should set up an independent commission to resolve the disputes between the three counties.

The case will be mentioned on December 1.

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