- Monthly domestic VAT collections have increased to Sh28–30 billion, up from Sh20 billion, due to mandatory electronic tax invoicing (e-TIMS).
- Annual domestic VAT collections are now estimated at Sh96–100 billion.
- The e-TIMS system, introduced in early 2023, enables real-time tracking of taxable sales, reducing tax evasion and broadening compliance.
- Reverse invoicing, introduced in December 2024, has captured Sh800 million in previously unreported transactions.
- Tax base expansion in 2024/25 brought in Sh2.9 billion from previously unregistered businesses, supporting the goal of raising revenue to 20% of GDP.
Source: eastleighvoice.co.ke
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "Kenya"
- Kenya Government Extends 8% VAT on Fuel for Three More Months amid Middle East Volatility
- Government Removes Tax on Water (Bottled Water Excise Duty Scrapped)
- 8% Fuel VAT Extended for Three More Months amid Middle East Volatility
- Proposal Exempts PPP Projects, Narrows VAT Exemptions for Payment Platforms and Certain Goods
- Treasury Revises VAT Changes to Exempt Core Financial Service Providers from Digital Payments Tax
