Taxman misses revenue target as tough economic environment bites

The Kenya Revenue Authority (KRA) has missed its 2015/2016 target by Sh6.5 billion, registering a total tax collection of Sh1.210 trillion against a target of Sh1.217 trillion.

The taxman however outgrew last year's collection by 13.2 per cent, up from Sh1.182 trillion collected in the 2014/2015 period.

The targets were affected by a slump in corporate taxes as many companies felt the heat of a sluggish economy, the KRA commissioner general John Njiraini said Wednesday.

READ: Treasury bursts local borrowing target by Sh49bn on tax shortfall

The economy grew at 5.8 per cent in the period under review which is below the projected 6.1 per cent.