KRA Sets Up A Department That Will Only Focus On MSMEs

Kenya Revenue Authority (KRA) has established a new department named the Micro & Small Taxpayers (MST) Department that will mainly focus on medium and small businesses across the country.

This department, which will be headed by a commissioner, will play a pivotal role in simplifying tax compliance, fostering trust, and promoting economic growth by offering tailored tax solutions that address the unique challenges MSMEs face in their business operations.

The MST Department will provide customized tax education, compliance support, and sector-specific solutions. Recognizing the critical role of MSMEs in Kenya’s economy, the department will ensure that tax processes are accessible, efficient, and aligned with the needs of small businesses.

Through this initiative, KRA is committed to building trust and enhancing tax morale among micro and small taxpayers. The Authority will offer tailored compliance support within the taxpayers’ ecosystem, simplifying tax processes to promote voluntary compliance among MSMEs.

The MST Department has lined up various initiatives to make tax compliance more accessible and manageable for small businesses. These initiatives include comprehensive tax education and awareness campaigns to empower businesses with knowledge of their tax obligations. KRA will also offer incentives, recognize compliant MSMEs, provide digital solutions, and collaborate with industry leaders and representatives to develop sector-specific solutions that fit seamlessly into MSME operations.

The new department will be led by Commissioner George Obell, a seasoned tax expert with over 28 years of experience in providing strategic leadership and direction on domestic and international tax policies. Mr. Obell served as Deputy Commissioner of the Medium Taxpayers Office at KRA until 1st March 2025, when he was appointed to head the new department.

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