Willy Mutunga Pins Down Pastor Ezekiel On His Church Filing Taxes

He noted that he would have liked to see the returns filed with his own eyes

Willy Mutunga Pins Down Pastor Ezekiel On His Church Filing Taxes
Collage image of Pastor Ezekiel in court and former CJ, Willy Mutunga. /CITIZEN DIGITAL.ESTHER NYONJE/YOUTUBE

Former Chief Justice Willy Mutunga on Thursday, June 1 poked holes in the defence by Pastor Ezekiel Odero of New Life Prayer Centre with regards to filing tax returns amidst plans by the Registrar of Societies to deregister his church.

Speaking to YouTuber Esther Nyonje on the Kenya Explained show, Mutunga claimed that churches in Kenya were not known for remitting taxes and that they should file taxes just like any other organisation.

"My view is that churches should be taxed. They should pay taxes," he noted.

Mutunga revisited Pastor Ezekiel's troubles with the State and found a key issue with findings by the Kenya Revenue Authority (KRA) through documents which indicated that Pastor Ezekiel's New Life Prayer Centre and Church were compliant in filing tax returns. The document dated June 2022 added that Ezekiel's church had settled all taxes due.

Ex-CJ Willy Mutunga speaking to YouTuber Esther Nyonje on June 1, 2023. /YOUTUBE.ESTHER NYONJE

He noted that he would have liked to see the returns filed with his own eyes in order to demystify his belief that churches in Kenya are knowingly allergic to paying tax.

"Do churches pay taxes right now?" Nyonje posed to Mutunga.

"I don't think so, but I saw in the case of Ezekiel, they said his church was filing returns but I would like to see those returns, what are they for...because churches have no tax," Mutunga recommended.

Mutunga revisited a past discussion ignited by former Attorney General, Githu Muigai calling for former President Uhuru Kenyatta's government to compel churches to pay taxes, but was curtailed as the move risked endangering the connection between religious organisations and politicians.

He opened up on the intrigues within the business operations of some of the churches which are opening other facilities such as schools and running them at the same time and called for churches to pay taxes unless they can show evidence that the funds they earn go towards improving their church operations.

"He was very progressive and he said churches should pay taxes. Immediately Uhuru heard that and he told him to shut up because of this connection between the religious organisations and the politicians.

"Religion, ethnicity, they also use politics of division and if a particular organisation like a church is into business, they are running schools and hospitals, they should pay taxes unless they can show us that the money that comes from the business goes to evangelize and not to buy their jets," he added.

The Registrar of Societies turned tables on Tuesday, May 30 by revealing that Pastor Ezekiel failed to file his annual returns and asked the pastor to explain why his church in Mavueni, Kilifi County should not be closed down after 21 days of the notice.

In response through his lawyers, the televangelist accused the state of attempting to hinder and slow down all development projects he was undertaking.

"If you close down the church, you not closing down Ezekiel's church but that of the people," argued his lead lawyer, Danstan Omari.

Ezekiel further argued that files were missing at the registrar's office, limiting him from filing his returns. The missing files had prompted him to order his lawyers to launch legal proceedings against President William Ruto's government.

"We have discovered that there is a deliberate attempt to get Pastor Ezekiel in a criminal act by all means. Attempts have been made to even ask for the file but we are told that the file is somewhere but we can't tell where," Lawyer Cliff Ombeta stated on Sunday, May 28.

The Lawyers claimed that the State was hiding the tax return file in order to find Pastor Ezekiel at fault, regardless of the facts they argued had exonerated the New Life International Church overseer.

Are Churches In Kenya Supposed To File Taxes?

The Registrar of Societies noted that Churches in Kenya, including Pastor Ezekiel's New Life International, are required to file annual tax returns with the KRA. 

The tax return must be filed by the end of the fifth month after the end of the church's fiscal year. For example, if the church's fiscal year ends on December 31, 2023, the tax return must be filed by May 31, 2024.

Former Prime Minister Raila Odinga touring Pastor Ezekiel Odero's home in Kilifi County alongside the televangelist, lawyer Cliff Ombeta and other Azimio politicians on May 6, 2023. /CLIFF OMBETA

The tax return can be filed electronically, in which, the church must have a valid iTax account and a KRA PIN as well as the church's name, address, PIN and the church's gross receipts and expenses. 

Other details include the church's assets and liabilities, the church's program services, compensation of officers, directors, and trustees and grants.