Want To Avoid KRA Fine’s? Here’s a How to File Your Tax Returns Online

The deadline for filing tax returns is approaching, and Kenyans have no choice but go through the mandatory process or face the repercussions of not doing so.

Taxpayers who fail to file their tax returns after the June 30^th deadline are usually charged 2000 shillings or five percent of the tax due.

The penalty for late filing of income tax for corporate is pegged at 20 000 shillings or five percent of the tax due.

Here is a step by step guide on how to file your tax returns:

Filing NIL Returns Online

To file your NIL returns, you only need a copy of your KRA PIN certificate and an account on KRA’s iTax website.

1. Click on itax.kra.go.ke and log in
2. Key in your user identification Card or KRA Pin, then click on the continue button.
3. Input your password in the empty tab that will appear.
4. You will see a red menu bar. On it, click the Returns icon, and a drop-down will appear. Select the File Returns Options.
5. On the new page, at the ‘Type’ tab, fill ‘Self.’ On the taxpayer, pin insert your KRA pin, and on the ‘Tax Obligation’ option insert ‘income tax resident,’ then click submit.
6. Once the process is successful, an e-return acknowledgment receipt will appear. Click the download button to have the document in soft copy form.

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Filing PAYE Returns Online

1. Open your browser. Go to the KRA portal official site
2. Enter your KRA Pin. Click continue, then enter your password and security stamp (answer arithmetic questions), and click login.
3. Go to the Returns menu and select ITR (Income Tax Returns); for Employment income only.
4. Enter Return Period. Select “Yes” to the question, “Do you have employment income?” then click Next.
5. Answer all the questions asked appropriately under basic information, then click Next.
6. Go to section F, Details of Employment, income, and confirm the name and PIN of the employer, Gross Pay, and other allowances as per your p9 form.
7. Go to sheet M, Details of PAYE deducted, confirm Employer details, Taxable salary, chargeable pay, tax payable on taxable salary, and PAYE deducted.
8. Go to section Q and capture a payment, if any, made before filing the return.
9. Go to section T, Tax Computation, enter the defined/ pension contribution amount (as per your P9 actual contribution by the employee)