FILE PHOTO | NMG
The Kenya Revenue Authority (KRA) is set for an additional Sh10 billion budget allocation to boost identification and capture of wealthy tax cheats in what promises to be the biggest crackdown yet on high-net-worth individuals and firms.
The allocations follow recommendations by the National Assembly Finance Committee to review the law and allocate KRA at least two percent of the taxes it collects to intensify revenue collection.
Amendments to the Finance Bill by the National Assembly’s Finance Committee have recommended changes to the KRA Act to state that the allocation should be “at least two percent of the revenue actually collected by the Authority in the previous financial year”, but also that it should not exceed this percent
age.
“The amendment is to ensure that the KRA is allocated a minimum of two percent of the revenue collected in the previous financial year,” said the committee in the report tabled on Thursday.
MPs will this week vote on the recommendations of the House committee before the President signs the new Finance Bill into law ahead of July 1
The KRA has been seeking additional funds over the years to enhance its capacity to collect revenue amid ever-rising targets that have not been met for some time.
