The orders affected his accounts at Equity Bank and Co-operative Bank, halting access to substantial funds.
The Tribunal, led by Hon. Dr. Rodney Oluoch, emphasized that the disputed taxes are yet to be legally determined and therefore cannot be enforced while the appeal process is ongoing.
According to Section 52(2) of the Tax Procedures Act, obligations that are contested cannot be collected until the resolution of the dispute.
“The taxes subject to the said agency notices are disputed and not yet determined, hence not collectable pending the hearing and determination of this appeal,” the ruling stated.
Sonko’s lawyers argued that KRA acted prematurely by issuing the notices, effectively immobilizing his money without providing an opportunity for proper legal review.
They maintained that the agency notices were procedurally flawed and violated the principles of fairness.
The Tribunal concurred, granting the former governor temporary relief as the main appeal continues to be heard.
The ruling provides Sonko with access to his accounts and allows him to manage personal and business commitments without the immediate interference of tax enforcement.
Legal experts note that such decisions are critical in balancing the enforcement powers of tax authorities with citizens’ rights, particularly when the liability remains unresolved in a court or tribunal.
While this relief is provisional, it ensures that taxpayers are not unduly penalized before their disputes are thoroughly examined.
The Tribunal’s intervention underscores the need for due process and careful consideration before freezing individuals’ assets, particularly in high-profile cases where public interest and private rights intersect.