KRA And Eastleigh Business Community Partner To Strengthen Tax Compliance in the Area

Kenya Revenue Authority (KRA) leadership has held a consultative meeting with members of the Eastleigh Business District Association (EBDA) to address concerns raised by the business community regarding challenges affecting tax compliance in the area.

Among the key issues highlighted was the adoption of the Electronic Tax Invoice Management System (eTIMS), which has posed challenges for traders operating in Eastleigh. The gap in issuance of eTIMS-compliant invoices has also affected businesses across the country that source goods from Eastleigh, limiting their ability to claim legitimate business expenses due to lack of supporting documentation.

Speaking during the engagement, Commissioner for Micro and Small Taxpayers, Mr George Obell noted that low uptake of eTIMS and limited issuance of invoices in Eastleigh has contributed to low levels of visibility, hence non-compliance by many businesses.

“Many businesses across the country source goods from Eastleigh but face challenges in obtaining eTIMS invoices, which are critical for expense claims. This is because traders in Eastleigh receive cash payments and avoid issuing invoices to buyers. We are therefore going to ensure that the traders are supported to register on eTIMS and issue receipts for all transactions, enhancing transparency and creating a level playing field in the market,” said Mr. Obell.

He added that KRA has committed to providing end-to-end support to traders, including PIN registration, tax filing assistance, eTims onboarding and guidance on tax payments to ensure full compliance.

The meeting also highlighted language barriers, complex tax processes, and limited access to KRA service points as key impediments to compliance. EBDA Secretary General, Mr. Omar Hussein, noted that many traders in Eastleigh are not conversant with official languages, creating a gap in understanding tax obligations. He called on KRA to deploy officers proficient in local dialects to improve communication and enhance compliance. He also urged traders to embrace the issuance of eTIMS receipts and set a positive example, noting that Eastleigh is one of the largest business hubs in East and Central Africa.

In response, Commissioner Obell assured the business community that KRA will deploy officers familiar with local languages to facilitate effective engagement and provide tailored tax education. He further announced plans to collaborate with mall management in Eastleigh to establish KRA service desks within business premises, including inside the malls, making it easier for traders to access services and comply with tax requirements.

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