NAIROBI, Kenya, April 8 – Kenya Revenue Authority has given an open window to businesses who may fail to remit their taxes on time as a result of COVID 19 which has slowed down economic activity.
KRA Commissioner General James Githii Mburu in a statement on Tuesday further advised businesses and individuals experiencing challenges to agree with the authority’s debt team on a favorable repayment plan.
“In the event that a taxpayer is not able to honor the agreed payment plan, it is mandatory that the same is reviewed and agreed with our debt team,” said Mburu.
He further said the authority will act against anyone who intentionally fails to submit their taxes.
“Whereas all efforts will be made to facilitate payment of taxes, KRA will decisively handle any matter that pertains to deliberate non-payment of taxes,” he added.
This comes even as President Uhuru Kenyatta introduced new tax reliefs already in play to cushion Kenyans affected by COVID 19.
President ordered the National Treasury to give employees earning less than Sh24,000 a 100 percent tax break.
Those earning more than this will pay a maximum of 25 percent, down from the current 30 percent while the micro, small and medium enterprises (MSMEs), now have a reduction Turnover Tax also the current three percent to one percent.
Currently, Kenya has confirmed 172 infections and six deaths caused by the disease.
Health Cabinet Secretary Mutahi Kagwe on Tuesday asked Kenyans to brace for tough times ahead, saying community transmissions are on the rise.