The June 30 deadline for filing tax returns is nearing but only 2.2 Million Kenyans out of the close to 6 Million registered in the Kenya Revenue Authority (KRA) Itax system have completed the exercise, Nairobi Region Tax Services Manager Judith Njagi has confirmed.
The remaining more than 3.5 Million citizens are expected to file their tax returns in less than a week or else they will be slapped with a Sh20,000 penalty imposed by KRA.
A majority of those likely to be caught up with time, Ms Njagi says are students and unemployed individuals who are not income taxpayers.
She advised that in the event one is fined but genuinely had no tax returns to file, they can communicate to KRA and provide evidence of their defensive assertion on their failure to file returns.
[caption caption="KRA tax services manager, Judith Njagi in an interview on Monday "]
[/caption]
“Our pins are not categorised but we are getting into that so that we can flag out students and such individuals. However, there are students that are very creative and are in business or engage in income-generating ventures, else they have to file returns like every other person or come out clear and seek the penalty waiver,” stated Njagi during an interview on Monday morning.
There have been complaints by Kenyans on why they have to perform the exercise on their own other than KRA or their respective employers.
Ms Njagi clarified that filing tax returns had been made an individual obligation because neither the commission or an employer could make the declaration of the taxpayers’ sole sources of income.
“You have to file the returns on your own because it is difficult for the employers to tell whether you have any other sources of income other than employment. It is the reason why it is expected and we insist that one makes the individual tax declaration that they have no other sources of income other than employment,” explained Ms Njagi.
She added the mechanism is also aimed at policing and tracing employers who make tax deductions from their employees but fail to remit the payments to KRA.
She further warned that individuals should not take advantage of the ease of filing nil returns in the last minute rush as it amounts to a crime. KRA investigates all declarations submitted as nil to ascertain their genuinity.
[caption caption="iTax service logo "]
[/caption]
She noted: “It is not a mistake to file Nil Returns. The problem occurs in the event this is done to defraud KRA. Many times we realise that many taxpayers are in business out there but file nil returns. They think that government may not catch up with them.”
