KRA Seizes 53,000 Under-declared Smartphones At Eldoret Airport

The Kenya Revenue Authority (KRA) has seized a consignment containing more than 53,000 under-declared smartphones at Eldoret International Airport, averting an estimated tax loss of Sh21.5 million.

The seizure followed an intelligence report indicating that a consolidated cargo shipment contained unmanifested mobile phones and other high-end electronic goods.

The consignment had been declared under five Customs entries and was listed as containing 3,000 smartphones alongside shoes, clothing, automotive spare parts, household goods, electronic accessories and other assorted cargo.

However, a verification exercise by KRA enforcement teams found a much larger number of phones than had been declared.

KRA said it established that 55,607 ordinary smartphones were in the consignment, compared with the 3,000 units declared.

The verification also uncovered 309 high-end smartphones that had not been declared to Customs. They included Samsung Galaxy S26 Ultra, Samsung Galaxy Z Fold and Apple iPhone 17 Pro Max models.

The findings point to both under-declaration and non-declaration of dutiable goods, according to the tax authority.

KRA said the verification was launched to establish whether all mobile phones and other electronic goods in the shipment had been properly declared following the intelligence received.

The authority said the alleged tax evasion contravenes Section 203 of the East African Community Customs Management Act (EACCMA), 2004.

The law provides that making a false or incorrect Customs entry, or knowingly participating in the fraudulent evasion of duty, constitutes an offence punishable upon conviction by imprisonment for up to three years or a fine of up to US$10,000.

KRA said it is intensifying efforts to uncover tax evasion schemes as part of measures to improve revenue compliance and enforce tax laws and procedures.

The authority said such enforcement is also aimed at ensuring fair competition and trade within the market.

KRA has urged members of the public, taxpayers and businesses with information on individuals, companies or networks involved in tax fraud, including the generation, sale, purchase or use of fictitious VAT invoices, to report the information to the authority.

The taxman said information provided through its reporting channels would be treated confidentially, with the identity of informants kept anonymous.

The seizure comes as Customs enforcement teams continue to scrutinise imported consignments to ensure that dutiable goods are accurately declared and that the required taxes are paid.