Home ECONOMY KRA imposes fines for late filing of annual returns

KRA imposes fines for late filing of annual returns

by biasharadigest

Kenya Revenue Authority(KRA) will impose a penalty for firms and individuals who did not file their annual returns before the deadline.

Taxpayers will be charged for late filing of tax returns, pegged at KSh 2000 or 5% of the tax due, whichever is higher for individuals, while the penalty for Income Tax for Non-Individual is at KSh 20,000 or 5% of tax due, whichever is higher.

Figures indicate that 5.5 million taxpayers filed their tax returns for 2020 when the deadline ended on June 30th, 2021. This is an increase of 1.1 million more taxpayers more than 4.4 million last year, a growth of 19%.

KRA relied on enhanced iTax platform

KRA says the enhanced iTAX platform enabled the elimination of long queues on the last days of filing.

iTax has also been enhanced to allow taxpayers to only fill in annual pension and tax relief information to complete the return process.

Currently, there are about 6.1 million taxpayers registered on iTax. KRA projects to increase the number of active taxpayers by 2 million to 8.2 million by the end of June 2023.

KRA acknowledges and appreciates all taxpayers who turned up to file their annual tax returns.

Kenyans are urged to file returns early, beginning January of every calendar year, to avoid the last-minute rush on the 30th June deadline.

Like tax payment, filing tax returns is an important tax compliance tenet, which is put in place to ascertain tax compliance.

ALSO READ:KRA expects 5 Million Kenyans to File Returns by June Deadline

Related Posts

Leave a Comment