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KRA, counties clash over VAT on revenue demand
Council of Governors Chairperson Ann Waiguru during the Senate Liaison Committee Retreat at EKA Hotel in Eldoret town, Uasin Gishu County on June 04, 2024.
County governments have clashed with the Kenya Revenue Authority (KRA) over demands by the taxman that the devolved units pay 16 percent value-added tax (VAT) on their own-source- revenue (OSR) collections.
The chairperson of the Council of Governors Anne Waiguru says KRA’s persistent demands that counties pay VAT on revenue were unconstitutional and amounted to an affront to the distinct roles that are to be played by the national and county governments.
