By Jeff Kizzilah Digital Editor
The government has proposed significant changes to Kenya’s tax return filing timelines in a move aimed at improving the verification and validation of tax returns before the start of a new financial year.
Speaking on the proposed reforms, Treasury Cabinet Secretary noted that the current deadline of June 30 for filing tax returns leaves little time for the Kenya Revenue Authority (KRA) to scrutinize submitted returns before the next financial year begins.
To address this challenge, the Treasury is proposing a differentiated filing schedule based on taxpayers’ income status. Under the new proposal, taxpayers with nil returns will be required to file their returns within one month after the end of the year of income. Individuals whose income is fully taxed at source will be expected to file their returns within four months after the end of the year of income.
Meanwhile, all other taxpayers will continue to submit their returns by June 30, while businesses will also retain the current June 30 filing deadline.
According to CS Mbadi, the proposed changes are designed to give tax authorities adequate time to verify and validate tax information, enhance compliance, improve efficiency in tax administration, and strengthen revenue collection systems.
The reforms form part of the government’s broader efforts to modernize tax administration and create a more effective and responsive revenue management framework that supports Kenya’s economic development agenda.
