Video Tax Act, Cap 477

(Repealed by No 3 of 2000)

LAWS OF KENYA

THE VIDEO TAX ACT

CAP. 477.

Published by the National Council for Law Reporting With the Authority of the Attorney-General

CHAPTER 477 Video Tax Act, Cap 477

The Video Tax Act

Commencement Date: 1985-09-09

An Act of Parliament to impose a tax on the hire of videotapes; to provide for recovery of the tax and for registration of persons letting videotapes on hire by way of business; and for connected purposes

PART I - PRELIMINARY. Short title

1. This Act may be cited as the Video Tax Act.

Interpretation.

2. In this Act, unless the context otherwise requires -

"business" includes the following activities, whether carried on for profit or not and even if carried on as an incidental or ancillary activity to another business or activity - (a) a trade, occupation or vocation;

(b) any activity carried on by a body of persons, whether corporate or unincorporate;

"hire" includes a loan;

"premises" includes a vehicle or vessel;

"registered video hirer" means a person registered as a video hirer under section 5;

"video hirer" means a person who lets on hire videotapes by way of business and includes a person who regularly lends videotapes from a substantial library;

"videotape" includes a video cassette and any kind of video or audio-visual recording;

"video tax" means the tax imposed by section 3.

PART II - IMPOSITION OF TAX

Tax on hire of video tapes.

3. (1) There shall be charged, levied and paid on every Tax on hire of hire of a videotape from a video hirer a tax (in this Act videotapes. referred to as "video tax") at the rate specified in Part I of the Schedule.

(2) Subsection (1) applies notwithstanding that a particular hire is made in one or more of the following circumstances -

(a) without payment on the occasion of that hire;

(b) under a season ticket or in consequence of a lump sum payment; Video Tax Act, Cap 477

(c) in exercise of a right or privilege derived from a payment, subscription or contribution, even if that payment, subscription or contribution is also made, or is made principally, for other rights, privileges or purposes;

(d) under an arrangement permitting the hire of any number of tapes one at a time over a given period;

(e) in exchange for any valuable consideration other than money;

(f) as an incidental to another activity or purpose;

(g) whether the hire is for public or private viewing.

PART III - REGISTRATION OF VIDEO HIRERS

Videos not to be hired without registration.

4. (1) No person shall at any premises let on hire videotapes by way of business unless he is registered as a video hirer in respect of those premises in accordance with section 5.

(2) A person who contravenes this section is guilty of an offence and is liable to a fine not exceeding twenty thousand shillings or to imprisonment for a term not exceeding one year or to both and in addition is liable to pay any video tax which should have been paid.

Registration of video hirers.

5. (1) An application to be registered as a video hirer in respect of any premises shall be made to the District Revenue Officer for the district in which the premises lie on such form as may be prescribed and with payment of the annual registration fee specified in Part II of the Schedule.

(2) When he receives an application in accordance with subsection (1) the District Revenue Officer shall register the applicant as a video hirer in respect of those premises and shall issue him with a certificate of registration.

(3) Registration as a video hirer shall remain in force for one year from the date of registration but may be renewed from year to year on payment of further annual registration fees.

(4) A person may be registered as a video hirer in respect of more than one premises if he pays a separate annual registration fee for each premises.

(5) Registration as a video hirer is not transferable from one person to another; but if the registered video hirer moves from the premises registered to other premises, registration is transferable to those other premises on prior notification to the District Revenue Officer.

Revocation or non-renewal of registration. Video Tax Act, Cap 477

6. (1) The Minister may at any time revoke or refuse to renew registration of a video hirer if in his opinion an offence under this Act has been committed by the registered video hirer or any employee of, or person acting on behalf of, or under any arrangement with, the registered video hirer or if in the opinion of the Minister the registered premises become unsuitable for the purpose of video hiring.

(2) A video hirer aggrieved by the Minister's revocation or refusal to renew registration under subsection (1) may appeal in writing to a subordinate court of the first or second class, whose decision shall be final, and the registration shall continue in force during the period of its validity until the appeal has been disposed of.

No refund of fees.

7. If registration as a video hirer in respect of any premises is -

(a) revoked under section 6; or

(b) cancelled at the request of the registered video hirer, the person registered is not entitled to any refund of the annual registration fee in respect of any unexpired period of registration.

Accounts and records.

8. (1) A registered video hirer shall keep, to the satisfaction of the Controller of Inland Revenue, such proper books, records and accounts as may be prescribed in relation to all transactions connected with the letting on hire of videotapes by way of business.

(2) Books, records and accounts kept under subsection (1) shall be preserved by the registered video hirer on the registered premises for at least one year or such other period as may be prescribed.

(3) A person who contravenes this section is guilty of an offence and is liable to a fine not exceeding ten thousand shillings or to imprisonment for a term not exceeding six months or to both.

Proof of registration.

9. Where a person is charged with contravening section 4, 8 or 11 -

(a) the burden of proof as to his registration as a video hirer rests with him; and

(b) a certificate in writing signed by the District Revenue Officer that the person is or is not registered as a video hirer is, in the absence of evidence to the contrary, sufficient evidence before the court of that fact.

No defence for registered video hirer.

10. It is not a defence for a video hirer or a registered video hirer charged with contravening section 4, 8 or 11 that he did not know that a contravention was taking place unless he can show, to the satisfaction of he court, that he took all reasonable steps to ensure that the provisions of section 4, 8 or 11, as the case may Video Tax Act, Cap 477 be, were complied with.

PART IV - DETAILS OF TAX

Method of imposing tax.

11. (1) No person shall let on hire a videotape in respect of which the hire is subject to video tax except -

(a) with a ticket or receipt stamped in such manner as may be prescribed denoting that the proper video tax has been paid; or

(b) in accordance with arrangements approved in writing by the Controller of Inland Revenue for furnishing returns of hires of videotapes, giving security for payment of the proper video tax and displaying notice at the place of hire that such arrangements are in force.

(2) A person who contravenes this section is guilty of an offence and is liable to a fine not exceeding twenty thousand shillings or to imprisonment for a term not exceeding one year or to both and in addition is liable to pay any video tax which should have been paid.

(3) In this section a reference to a person includes -

(a) any employee of a video hirer; and

(b) any person acting on behalf of or under any arrangement with a video hirer; and if such a person contravenes 'this section -

(i) that person is liable under this section as if he were the video hirer; and

(ii) the video hirer is 'liable under this section as if he had personally committed the offence.

Payment of tax.

12. (1) Video tax shall be charged in respect of every hire and is payable by the person who lets on hire the video-tape.

(2) Video tax -

(a) shall be paid by a stamp on the ticket or receipt for the hire in accordance with section 11 (1) (a); or

(b) in the case of hires to which section 11 (1) (b) applies, shall be calculated and paid on the number of hires.

13. Recovery of Tax

Tax and fees to be revenue of Government.

14. All video tax and registration fees collected or levied under this Act are revenue of the Government. Video Tax Act, Cap 477

Power to exempt.

15. Where it appears to him to be in the public interest the Minister may grant exemption from video tax.

No taking untaxed videotapes on hire.

16. (1) No person shall take on hire a videotape where the hire is subject to video tax except from a registered video hirer and on receipt of -

(a) a ticket or receipt stamped in such manner as may be prescribed denoting that the proper video tax has been paid; or

(b) if notice in accordance with section 11 (1) (b) is displayed at the place of hire, a ticket or receipt stating that tax will be paid by arrangement with the Controller of Inland Revenue.

(2) A person who contravenes this section is guilty of an offence and is liable to a fine not exceeding two thousand shillings.

PART V - ENFORCEMENT PROVISIONS

Rights of entry, etc.

17. A police officer of the rank of Inspector or above, the District Revenue Officer or a public officer authorized in writing for the purpose by the District Revenue Officer may at any reasonable time -

(a) enter premises registered under section 5 for the purpose of ascertaining if this Act or regulations made under this Act are being complied with;

(b) where he has reasonable grounds to suspect that an offence is being or has been committed under this Act or regulations made under this Act, enter, inspect and search any place, premises or property and may take with him such persons and things as he considers necessary for those purposes;

(c) demand the production by a registered video hirer of his certificate of registration for examination;

(d) inspect any book of account, record or other documents used in connection with the hire of videotapes;

(e) require a registered video hirer or any employee or person acting on behalf of a registered video hirer to furnish any information relating to the letting on hire by that person of videotapes and which is reasonably required for the performance of his functions;

(f) seize and remove any videotape or other thing in respect of which he has reasonable grounds for believing that an offence under this Act is being or has been committed. Video Tax Act, Cap 477

Obstruction, etc.

18. (1) No person shall prevent, hinder or obstruct a police officer or a District Revenue Officer or a person authorized under section 17 in the performance of his functions under this Act.

(2) No registered video hirer or any employee or person acting on behalf of a registered video hirer shall refuse or delay or fail to produce his certificate of registration for examination under section 17 (c), or any book of account, record or other document for inspection under section 17 (d), or any information required under section 17 (e).

(3) A person who contravenes subsection (1) or (2) is guilty of an offence and is liable to a fine not exceeding ten thousand shillings or to imprisonment for a term not exceeding one year or to both.

Cognizable offences.

19. Offences under this Act are cognizable offences.

PART VI - MISCELLANEOUS PROVISIONS

Indemnity.

20. No action lies against the Government, a District Revenue Officer, a police officer or any other public officer for any act done or ordered to be done in good faith in pursuance of this Act.

Regulations.

21. The Minister may make regulations generally for the better carrying out of the objects and purposes of this Act, including, without prejudice to this generality -

(a) prescribing any matter which is to be or may be prescribed under this Act;

(b) prescribing any forms to be used in connection with this Act;

(c) securing the payment of video tax;

(d) providing for the supply and use of stamps;

(e) securing the defacement of stamps, when used.

SCHEDULE

PART I (s. 3 (1)) Rate of Video Tax Sh. For every hire ...... 4 Video Tax Act, Cap 477

PART II (s. 5 (1)) Fee for Registration as Video Hirer

Sh. Annual registration fee for each premises ... 2,000