NAIROBI: Kenya’s Revenue Authority will undertake reforms in response to a shortfall in revenue collections, National Treasury Cabinet Secretary Henry Rotich has said.
Speaking at the Kenyatta International Convention Centre on October 25 – KRA taxpayers day – he said the shortfall for the first quarter of the 2015/16 fiscal year to end-September was not acceptable. He said stringent measures are being put in place to streamline the KRA’s revenue collection efforts.
To achieve its 2015/16 budgetary revenue target of KES1.3 trillion (USD12.75bn), the KRA “is expected to institute measures to expand the revenue base and minimize tax leakages.”
For example, he disclosed that an external consultant is to be taken on to review the collection of customs duty and value-added tax (VAT), and “the auditing process… and debt collection will be strengthened to enhance revenue.” The National Treasury will also monitor the revenue collected and clearance of cargo at the port of Mombasa to ensure that all taxes are paid.
