50pc of Taxpayers Failed to Meet KRA’s Deadline on Filing Returns

A total of 2.4 million taxpayers did not manage to beat the filling of returns deadline by Kenya Revenue Authority (KRA) of June 30.

The total number of registered taxpayers stands at 4.8 million people, which means that half of the people did not file their returns and will have to pay fines of as much as 20 thousand shillings. The number is higher than the 2.3 million Kenyans who breached the tax return filing deadline within the same period in the 2015 financial year.

This means the tax collector missed  its overall revenue collection target of Kshs 1.5 tn for the 2016/17 fiscal year having missed its third quarter target.

Read: KRA fails to Meets its Half-Year-Target Once More

According Judith Njagi, who is the Chief Manager Taxpayer Services Nairobi Region, they are in the process of deactivating individual and company pins that are not migrated to the iTax system.

As reported by the Business Daily Newspaper, Njagi noted that they reached that move so as to compel non-compliant taxpayers to file their returns as blocked pins cannot transact any business until they are activated.

“The penalty for late filing of tax returns for those employed will amount to a penalty of 25 percent of tax due or Sh10,000 depending on which is higher, said Ms.Njagi.

For failure to submit a tax document as required by law, one will be charged Sh1,000 per day, maximum Sh50,000

Other unspecified tax return related offences will attract fines not exceeding Sh500,000 or imprisonment for a term not exceeding three years, or both.