VAT collections hit record Sh32.1bn after fraud purge

Times Tower in Nairobi, the headquarters of Kenya Revenue Authority.  

Photo credit: File | Nation Media Group

Domestic Value Added Tax (VAT) collections grew by a record pace of 28.2 percent to an all-time high of Sh32.1 billion in May, coinciding with a purge on a fraudulent scheme that was costing the State approximately Sh2.5 billion monthly.

Internal reports by the Kenya Revenue Authority (KRA) showed that domestic VAT collections from medium and small traders grew sharpest by 39.7 percent to Sh6.98 billion in May, while collections from large traders grew by 25.3percent to 25.15 billion for the month –lifting the overall collections for the 10 months to May 2025 by three percent to Sh295.8 billion.

PAYE Tax Calculator

Note: The results are not exact but very close to the actual.