Economy

KRA forecasts tax filings will hit 5.5 million this year

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Times Tower, the headquarters of the KRA, in Nairobi. FILE PHOTO | NMG

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Summary

  • The number of Kenyans filing tax returns is projected to jump 25 percent to 5.5million this year, helped by ongoing campaigns on voluntary disclosure, the Kenya Revenue Authority (KRA) has said.
  • The taxman targets to net an additional 1.1 million tax filling for the 2019/2020 fiscal year—firming a trend from the previous year when 4.4million Kenyans filed their taxes up from 3.6million supported by the KRA’s Voluntary Tax Disclosure Programme (VTDP).

The number of Kenyans filing tax returns is projected to jump 25 percent to 5.5million this year, helped by ongoing campaigns on voluntary disclosure, the Kenya Revenue Authority (KRA) has said.

The taxman targets to net an additional 1.1 million tax filling for the 2019/2020 fiscal year—firming a trend from the previous year when 4.4million Kenyans filed their taxes up from 3.6million supported by the KRA’s Voluntary Tax Disclosure Programme (VTDP).

“We will at least 5.5 million taxpayers this year based on our projections because we have done a lot of taxpayer awareness,” Wanja Wangondu from the Domestic Taxes department told Business Daily.

“This is also because those who come forward in the VTDP will also file their returns before June.”

The taxman has in the past two years been aggressively carrying out campaigns to increase awareness amongst Kenyans on the importance of filing tax returns besides honoring the best taxpayers.

Taxpayers failing to filing for employment income face a fine of Sh10,000 or 25 per cent of income tax payable in the year the return is meant to capture or whichever is higher.

Individuals who fail to meet the deadline however face a fine of Sh2,000 or five per cent of the tax payable in the year under review or whichever is higher.

KRA last week started sending notifications to Kenyans to file their returns for the 2020/21 period ahead of the June 30 deadline.