Kenyans who failed to file their tax returns by June 30 have been warned that their personal and company identification numbers (PIN) will be deactivated.
This is according to a new announcement made by the Kenya Revenue Authority (KRA).
Taxpayers who have not migrated to its online tax returns filing system ( iTax ) have also been cautioned of suffering the same fate if they fail to comply.
According to KRA’s Nairobi Region Chief Taxpayer Services Manager Judith Njagi, the move would compel non-compliant taxpayers to file their returns as blocked PINs cannot transact any business until they are activated.
The fine for late filing of returns was recently increased to an annual fee of Sh20,000 from Sh1000.
Failure to submit a tax document as required by law, one will be charged Sh1,000 per day and a maximum of Sh50,000.
There was a last minute rush by Kenyans to declare their returns last month with some complaining that the system was slow due to the influx of people who wanted to access the portal.
Official data indicate that half of Kenya's registered taxpayers failed to meet the June 30 deadline indicated by the tax collector.
The number is higher than the 2.3 million Kenyans who breached the tax return filing deadline within the same period for the 2015 financial year.