Teachers risk missing July salary over KRA returns

By Amoto Ndiewo

Teachers employed by the TSC who fail to file their Kenya Revenue Authority (KRA) tax returns in time risk missing payment after the taxman escalated its penalty for the offence.

The KRA said Kenyans who fail to file their tax returns before the 30th June deadline risk losing their KRA PIN number. For teachers to receive their pay it must be subjected to taxation for they have KRA Personable Identification Number (PIN) to make it possible.

‘’If the KRA pin numbers are revoked it means payment won’t be effected for non-payment of tax,’’ said KRA officer in Garissa.

He said the KRA published a new notice saying persons who have failed to file their respective tax returns without showing cause will lose their PIN numbers after the lapse of the 30-day window.

‘’Failure to file returns, unless cause is shown to the contrary, the Commissioner of Domestic Taxes shall have their PIN deregistered and cancelled from KRA system,’’ read part of the KRA notice .

On KRA website, the tax collection agency listed 67,727 pins intended for deregistration next month and the website further shows how the teachers ought to file tax returns using their P9 forms. 

The KRA notice says the list set for cancellation are linked  to an estimated  7,107 groups, individual  accounts with balance, a majority of  companies  schools and self-help groups .

The intended de-registration and cancellation of the PINs is part of KRA’s move to enforce tax returns compliance as provided for in the 2015 Tax Procedure Act. In this respect, KRA has asked taxpayers to take advantage of the on-going voluntary tax disclosure program (VTDP) to rationalize outstanding tax payments and meet the filling requirements.

“The taxpayers are also encouraged to take advantage of the VTDP and apply, disclose and pay their outstanding liability with relief on interest and penalties,’’ added the KRA notice.

Lastly the loss of KRA PIN is detrimental as it is used to open bank accounts, apply for jobs and even land registration.

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