KRA Reportedly Seeks KSh623 Million From Mike Sonko Through Bank Notice
The Kenya Revenue Authority (KRA) is reportedly seeking to recover approximately KSh623 million in alleged unpaid taxes linked to former Nairobi Governor Mike Sonko through an agency notice issued to First Community Bank.
According to a report published by Citizen Digital on Friday, October 16, 2026, the notice forms part of the tax authority’s efforts to collect the amount it claims remains outstanding.
The reported move concerns an alleged tax liability, and the issuance of an agency notice does not, on its own, establish criminal wrongdoing by Sonko.
KRA Reportedly Targets Funds Held by First Community Bank
According to the report, KRA issued an agency notice directing First Community Bank to remit funds held on behalf of Sonko towards the stated tax demand.
An agency notice is a tax collection mechanism provided for under Section 42 of the Tax Procedures Act, 2015. It allows KRA, subject to legal requirements, to appoint a third party holding or owing money to a taxpayer as an agent for recovering unpaid taxes.
Banks may receive such notices when the tax authority seeks to recover outstanding tax liabilities from funds held in a taxpayer’s accounts.
The reported notice concerns approximately KSh623 million. However, the precise terms of the notice, the amount available for recovery and any subsequent action taken by the bank have not been independently established.
The notice alone does not confirm that the money has been recovered or that any underlying tax dispute has been resolved.
Sonko’s Earlier KSh385 Million Tax Dispute
The reported enforcement action comes amid previous tax disputes between Sonko and KRA.
In August 2026, the Tax Appeals Tribunal dismissed Sonko’s challenge to a tax assessment of approximately KSh385 million relating to deposits made into his bank accounts between 2013 and 2019.
Sonko disputed the assessment and indicated that he intended to challenge the tribunal’s decision in the High Court.
The earlier dispute should, however, be distinguished from the latest reported agency notice involving First Community Bank. The two amounts should not be treated as the same tax liability unless the relevant documents establish a direct connection.
While a tax assessment determines the amount the authority claims is owed, an agency notice is a collection mechanism. Any legal challenge to an assessment is a separate matter.
Sonko’s Response to the Latest Notice
Sonko’s response to the latest reported notice was not available at the time of publication.
In the earlier tax dispute, the former governor contested KRA’s assessment and indicated that he intended to pursue the matter in court.
Further details are needed to establish the precise basis of the latest notice, its relationship to the earlier assessment and whether First Community Bank has taken any steps to remit funds.
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