President William Ruto on Monday waived the accrued penalties on pending taxes incurred before January 1, 2023.
The president noted it was important to address the issue as there were concerns raised by Kenyans who were trapped with accrued interests.
"From September 1, 2023, to June 2024, you will have the opportunity to settle only the principal tax amount of outstanding tax debts incurred before January 1 2023 as we are waiving penalties and interests over the nine-month period," Ruto announced.
He spoke during the official launch of the Central Bank of Kenya's (CBK) Dhow Central Securities Depository (CSD) where he commended CBK for streamlining its systems.
Ruto further added that the waiver will ease the burden on Kenyans and align with the government's plan for a fair and inclusive economy.
"We are now making an offer to our taxpayers to have an opportunity to only pay the principal. I expect the taxpaying public will take advantage," he remarked.
The Head of State also remarked that the Finance Act 2023 introduced the Tax Payer amnesty program for penalties and interests accrued as of December 31, 2022.
According to Ruto, the amnesty program will assist taxpayers with financial burdens and spur economic growth and inclusivity.
Ruto also emphasised the government will collect enough taxes to be self-sufficient with the help of relevant bodies.
The President has championed efficient and reliable ways to collect revenue from government institutions and remove the middlemen.
This he has done through the introduction of the single pay bill number 222222 and directing all government services to be on the eCitizen platform.
"Mobile money pay bill numbers are a convenient and secure way for the government to collect payments from those seeking services. We must shut down the rest of the Pay Bill Numbers and remain only with one to channel all the money to the government through Treasury," he announced in June.
