Nairobi, Aug. 10 -- The High Court has upheld a Sh32.9 million excise duty claim against insurance broker Minet for "hospital discounts", boosting certainty on whether the fees earned from licensed activities are liable for taxation.

In a ruling that could sharpen the tax treatment of revenue earned through medical scheme administration, the court dismissed Minet's appeal against value-added tax (VAT) and allowed a cross-appeal by the Kenya Revenue Authority (KRA) for excise duty.

"I find that the tribunal erred in law by holding that hospital discounts were outside the scope of excise duty. In the circumstances, I find the commissioner's cross-appeal succeeds on this point," the judge said.

The court reinstated the excise duty assessm...