The Kenya Revenue Authority (KRA) has urged all Value Added Tax (VAT) taxpayers to verify the accuracy of their pre-filled November returns before the deadline on December 20. In a notice issued on December 3, KRA directed taxpayers to process and transmit their electronic tax invoices as required by law.
VAT, an indirect tax levied on goods and services at each stage of the supply chain, applies to both locally produced and imported commodities. Individuals or businesses that supply taxable goods and services worth Ksh 5 million or more annually are required to register for VAT.
KRA reminded taxpayers that VAT returns, including both the return and payment, are due by the 20th of the following month, with submissions made through the iTax platform. This filing requirement also applies to both resident and non-resident persons who supply goods or services in Kenya, including those operating through digital marketplaces.
In its latest advisory, KRA emphasized that VAT returns not validated via the electronic tax invoice system or against existing customs import declarations would not be allowed for deduction.
To facilitate easier compliance, the Authority announced that it has streamlined the VAT filing process. As of the November 2024 tax period, the VAT returns will be pre-filled with tax information already available to KRA. This move aims to simplify the filing process for VAT-registered taxpayers.
“KRA wishes to notify all VAT registered taxpayers that to simplify the VAT return filing process, the VAT return will be pre-filled with tax information available to KRA starting from the November 2024 tax period,” KRA stated.
The Authority also reminded VAT-registered persons to maintain proper records of all transactions, which may be kept electronically for ease of access. In cases where taxpayers input excess tax, the surplus will either be carried forward and deducted in the next tax period or refunded to the taxpayer.
KRA stressed the importance of timely and accurate filing to ensure smooth compliance and efficient revenue collection.
