KRA Seizes 53,000 Under-Declared Smartphones at Eldoret Airport, Averting Sh21.5m Tax Loss
“The intelligence received indicated that the consignment contained unmanifested mobile phones and other high-end electronic goods,” KRA
KRA intercepts thousands of undeclared smartphones at Eldoret International Airport in suspected customs fraud. Photo Courtesy
By James Gitaka
The Kenya Revenue Authority (KRA) has seized a consignment containing tens of thousands of under-declared smartphones at Eldoret International Airport, averting an estimated Sh21.5 million in potential tax losses.
The enforcement operation followed an intelligence report indicating that a consolidated cargo shipment contained unmanifested mobile phones and other high-value electronic goods.
The shipment, entered under five Customs declarations, was initially declared to contain 3,000 ordinary smartphones, alongside shoes, clothing, automotive spare parts, household goods, electronic accessories and other assorted cargo.
However, a subsequent verification exercise found 55,607 ordinary smartphones in the consignment — more than 18 times the quantity declared.
The inspection also uncovered 309 high-end smartphones that had not been declared at all, including Samsung Galaxy S26 Ultra, Samsung Galaxy Z Fold and Apple iPhone 17 Pro Max models.
The findings point to two separate customs violations: under-declaration of dutiable goods and outright non-declaration of other goods.
“The intelligence received indicated that the consignment contained unmanifested mobile phones and other high-end electronic goods,” KRA said, explaining that the verification was conducted to establish whether all mobile phones in the shipment had been properly declared.
Potential tax offence
KRA said the alleged tax evasion scheme contravenes Section 203 of the East African Community Customs Management Act (EACCMA), 2004, which makes it an offence to make a false or incorrect customs entry or knowingly participate in the fraudulent evasion of customs duty.
A person convicted under the provision may face imprisonment for up to three years or a fine of up to US$10,000, according to the Authority.
The seizure comes as KRA steps up enforcement against customs and tax evasion schemes, with the Authority saying its efforts are aimed at improving compliance with tax laws and procedures while promoting fair competition in the market.
“KRA is actively engaged in unearthing tax evasion schemes in order to boost tax revenue compliance as well as adherence to tax laws and procedures,” the Authority said.
KRA seeks public information
The tax authority has also appealed to members of the public, taxpayers and businesses to provide information on individuals, companies or networks suspected of generating, selling, purchasing or using fictitious VAT invoices.
KRA said information provided would be treated confidentially and that the identity of informants would remain anonymous.
The latest seizure highlights the growing scrutiny of consolidated cargo shipments and the risks businesses face when attempting to circumvent customs declarations and applicable duties.
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