By July 8, 2019

Kenyans Risk Paying Sh 5,000 in New Directive As KRA Attempts to Hit Revenue Target

By July 8, 2019

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Kenyans risk paying Sh5,000 in fine or face a jail term of up to two years if found loitering around  Kenya Revenue Authority headquarters, its offices countrywide among other protected areas as categorized by the Ministry of Interior and Coordination of National Government.

According to a gazette notice issued by Cabinet Secretary Fred Matiang’ i, persons found loitering in such premises without the permission of the top management will be arrested and prosecuted.

“The areas, places or premises described in the schedule are declared to be protected areas for purposes of the Act and no per­son shall be in the specified areas without the permission of the prescribed authority or the Cabinet Secretary for Interior and Coordination of National Government,” part of the Gazette notice issued stated.

This could be seen as part of the measures by the taxman to raise the 2019/2020 target revenue which was set at Sh2.2 trillion up from the previous year’s 1.9 trillion Shillings.

During the 2018/2019 financial year, KRA missed its target by Sh118 billion and this was attributed to depressed revenues in corporate taxes. According to Francis Kamau, a partner at Ernst & Young LLP, the Government may be forced to employ the services of Huduma Number to try and expand its tax bracket from the 2019/2020 financial year.

The penalty will double up to a maximum of Sh10,000 or a jail term of five years or both if the offenders are found to be in possession of arms, ammunition, explosives which they lawfully own.

Other areas listed as “protected areas”  include military barracks, weapons factories, govern­ment mines, camps, State House and Lodges, signal stations, military ships, foreign embassies, consulates, Central Bank of Kenya premises, among others.

Featured Image Courtesy:Business Daily

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