You have until Friday to file your tax returns: KRA

Models line up in a mock queue on Mombasa Road to demonstrate the frustration of filing tax returns manually during the launch of KRA’s online platform called iTax. You have until Friday to file your tax returns to be spared penalties. PHOTO | SALATON NJAU |  NATION MEDIA GROUP

In Summary

• "It is true there are issues to do with speed which are related to the stare of internet connectivity in Kenya and the government is already investing in broadband services across the country. We made the system much more user friendly compared to last year.
• The Commissioner General said the tax man will complete all the pending  tax refunds by the first quarter of this financial year (October).
• KRA aims to double the number of those filling returns through i-tax by the close of the next filling season ending in June.

By EDWIN OKOTH
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You have until Friday to file your tax returns to be spared penalties.
Kenya Revenue Authority Commissioner General John Njiraini said the tax man will consider a penalty waiver for those who will beat the Friday deadline after it turned out that 2 out of the 4 million tax payers filled returns by mid-night Tuesday.

"Those who did not make it by the deadline should do that by this Friday because we will consider favourably anybody who files their return by this Friday because the idea is not to punish so those who did not make it, don't worry, just ensure you get to it by Friday this week," Mr Njiraini said on Citizen TV news interview last night.

WELCOME RELIEF

The extension comes as a welcome relief to many Kenyans who failed to meet the June 30th deadline.

The Commissioner General said the tax man will complete all the pending  tax refunds by the first quarter of this financial year (October).

Many people had blamed their failure on the i-tax system challenges, an issue Mr Njiriaini admitted citing challenges with Kenya's internet connectivity.

"It is true there are issues to do with speed which are related to the stare of internet connectivity in Kenya and the government is already investing in broadband services across the country. We made the system much more user friendly compared to last year.

The system failed to generate passwords for many who had either forgotten their passwords or were making fresh registration.

The i-tax system has been lauded for simplifying tax returns as the tax man whose revenue target is set at Sh1.358 trillion passed the trillion mark by the close of 2014/2015 financial year.

KRA aims to double the number of those filling returns through i-tax by the close of the next filling season ending in June.

The tax man says it is engaged in  reforms aimed at changing its image from an enforcement agency to a 'partner in tax collection .'

"We are changing our strategy in terms of how we engage our tax payers. There is a joke that when we go to a rural town,everybody runs away and closes shop so it defeats our mission to collect taxes. We will be using our field station in educating customers on the importance of paying tax," Mr Njiriaini said.
Most SMEs avoid discussing their financial returns for fear of being pursued by KRA.

Majority of Kenyans engaged in the last minute rush on Tuesday crowding KRA headquarters and straining the system to avoid the penalties that come with late returns.

The two days extension will be a positive gesture from the changing tax man who recently launched an alternative dispute resolution mechanism relating to tax.

Whether Kenyans will follow suit and begin filling taxes early is a matter of wait and see as the clock ticks towards the new deadline.