The Kenya Revenue Authority has renewed plans to use information forwarded by taxpayers through the iTax platform to smoke out those who evade paying tax and be able to increase collections to 799 billion shillings during the first six months of this year.
The taxman is also banking on enhanced cargo scanning by Customs at the Port of Mombasa as from next month, netting an additional 20,000 landlords and aggressive debt collection to collect more taxes.
KRA is likely to miss its annual revenue collection target of 1.549 trillion shillings after the taxman netted 712 billion shillings during the first six months of the current fiscal year.
The national treasury tasked the Kenya Revenue Authority to collect ordinary revenues is projected at 1.549 trillion shillings in the current financial year that ends in June.
During the first six months of the financial year 2017/2018, KRA expected to collect more but managed to net KES 712.2B which it blames on depressed business environment a result of prolonged elections.
This means that the taxman is expected to net 837 billion shillings between January and June this year. However, this is unlikely and KRA has set itself the target of collecting 798.84 billion shillings in the six-month period to June this year.
This means the taxman is likely to miss its revenue collections target. To collect the 798.84 billion shillings KRA has set, Commissioner General John Njiraini says KRA plans to utilize data availed by taxpayers on the iTax platform to nab non-compliant and deliberate tax evaders.
KRA is also banking on aggressive debt collection to net KES 15.3B. In addition, the taxman expects to bring into the tax bracket about 20,000 landlords who will be paying tax on rental income on their property.
Enhanced use of scanners and tighter control at the just commissioned second container scanner at the Port of Mombasa is expected to sustain revenue growth.
KRA further seeks to tighten control over cargo scanning following the launch of centralized scanning control through the Scanner Command & Control Centre expected to become operational by March 2018.
This is expected to increase tax compliance from importers. Njiraini says the revamped Alternative Dispute Resolution programme could net an additional Sh 2.7 billion during the current half.