NEWS
28-07-2022 by redazione
Only four days to go until Kenya's tax receipt revolution.
As of 1 August 2022, in fact, anyone with a business registered with the V.A.T. (the Kenyan VAT) will have to own a new ETR machine and connect it to the internet to transmit real-time data on sales of services offered, every day, to the Kenyan Revenue Authority (KRA). While Kenyan manufacturers and traders are engaged in a race against time to learn how to use these machines, without having received comprehensive instructions on how to use them, on the other hand, the suppliers of the ETRs have practically run out of stock and cannot meet the demands of those who 'woke up' at the last minute.
The deadline of 31 July had in fact already been decided two months ago and at this point it is hoped and probable that there will be a postponement.
Also because the fines for those who do not use the new online transfer system or are found without the new 'ETR machine' may be subject to a fine of 1 million shillings or alternatively a prison sentence of three years.
Recall that the law requires all Kenyan-registered businesses with a turnover of at least five million shillings to equip themselves with ETR machines and are now obliged to purchase those with the new anti-fraud technology, at a minimum price of Kes. 70,000.
The new technology will allow the KRA to better monitor merchants' transactions, with the aim of minimising revenue leakages and corruption incidents and replenishing the state coffers, which is one of the ways implemented by the government to reduce public debt.
Among the various innovations to combat corruption, KRA recently stated that IRS employees will have to wear mail-order webcams in order to monitor any illegal activities.
Operators will also be required to ask the IRS, after the end-of-day report, for permission to carry out any other activity the following day, which means that incorrect or incomplete data recorded the previous day could block them. Members will be able to see their i-Tax page continuously updated.
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