Move will see agencies get information on individuals and firms from 135 jurisdictions.
Parliament has ratified a multilateral tax convention that will assist Kenya fight cheats, enhance the war against corruption and curb illicit financial flows.
The House approved a report by the Defence and Foreign Relations committee which endorsed the ratification of the Multilateral Convention on Mutual Administrative Assistance in Tax Matters.
The approval and subsequent depositing of the convention by the Ministry of Foreign Affairs will see Kenya receive information from over 135 jurisdictions on tax matters, 120 of which are currently not accessible.
Kenya will receive assistance on tax matters three months after it deposits its instruments for ratification with the secretary- generals of the Organisation for Economic Cooperation and Development (OECD) and the Council of Europe (CoE).
“Law enforcement agencies will access information that is usually not disclosed by taxpayers,” Kajiado South MP Katoo Ole Metito, who chairs the committee said.
The treaty allows for the sharing of tax information without Kenya having to enter into other bilateral agreements.
“The ratification will improve Kenya’s rating by Global forum and enhance its capacity to attract foreign direct investments, raise its international tax profile and global positioning in the area of information and tax transparency,” Mr Metito said in the report.
The convention obligates parties to provide administrative assistance to each other in tax matters, including through judicial intervention, where appropriate.
Kenya signed the convention on February 8, 2016 and its text was approved by the Cabinet on June 8, 2016.
The Cabinet thereafter approved its submission to Parliament for ratification by the National Assembly on August 1, 2019.
The committee said 135 jurisdictions had signed the convention as at November 27, 2019.
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