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Why Ruto’s Sh3 trillion tax revenue target is unrealistic for the KRA
President William Ruto (centre), his deputy Rigathi Gachagua and KRA Commissioner General Githii Mburu during the 2022 Taxpayers' Day on October 28, 2022. PHOTO | DIANA NGILA | NMG
The deliverables in-tray for the new administration is filling up too fast, it is difficult to keep tabs with the pledges. Last week, the President announced that his administration expects to collect Sh3 trillion in taxes by next year and double that in the next five years.
That target is close to impossible for the taxman to meet. Let us begin by looking at what Sh3 trillion means for the Kenya Revenue Authority (KRA). In the financial year 2021/2022 that ended in June this year, the KRA collected a new high of Sh2 trillion, so collecting Sh3 trillion means a 50 percent increase in collection within a year.