KRA tightens tax checks on importers
Import duty changes are done through the budget process upon approval by the council of ministers of finance under the EAC. PHOTO | MOHAMED AHMED | NATION MEDIA GROUP
What you need to know:
- The taxman said the move was necessitated by increased cases of undervaluation, mis-declaration and concealment of imported goods.
The Kenya Revenue Authority has tightened its monitoring of tax declaration for imported goods in order to improve revenue collection and deal with tax cheats.
The taxman yesterday said the move was necessitated by increased cases of undervaluation, mis-declaration and concealment of imported goods including falsification of importation documents.
The Kenya International Freight and Warehousing Association (KIFWA) have been at loggerheads with the KRA, blaming a clearance backlog at the Port of Mombasa on demand for higher import tariffs.
“No import duty rates have been increased in the recent past and KRA has no mandate to increase duty as this is done through a consultative process under the East African Community,” said Julius Musyoki, commissioner of customs and border control at KRA.
He said KIFWA and the Kenya Association of Manufacturers (KAM) are some of the stakeholders the KRA seeks input from before making any major decisions.
Import duty changes are done through the budget process upon approval by the council of ministers of finance under the EAC.
