This comes after several reports of the availability of traders who evade tax through the use of illegally distributed ETS.
During an inspection conducted by TRA and Hai District Commissioner Lengai Ole Sabaya over the weekend it was found that some fake ETS stamps had been circulating in the market and stamped on fake liquor.
The official warned that those who will be found involved in the malpractice will face the harsh side of the law and went on to direct TRA to work with the Prevention and Combating of Corruption Bureau (PCCB) with a view to investigating the entire syndicate so they arrive at how it started.
“This is just the beginning, we will continue to conduct such inspections until those involved are brought to book because this is the same as economic sabotage,” said the official.
During the impromptu inspection, several cartons of liquor were impounded.
A follow up inspection was conducted the following day when about 200 cartons containing counterfeit liquor, stamped with TRA stamps, were impounded and shop owners were arrested.
Earlier this month TRA cautioned manufacturers that commodities that must be affixed with electronic tax (ETS) stamps should not reach the market without the stamp after January 31, 2021.
TRA rolled out the first phase of the ETS on January 15, 2019 whereby electronic stamps were installed in 19 factories that produce alcohol, wine and spirits.
The taxman issued this warning saying in a statement that the Electronic Tax Stamp (ETS) system is in accordance with laws of the land.