Kenya Revenue Authority (KRA) has threatened to take action against Kenyans who failed to file their tax returns by June 30th deadline.
In a notice sent to 400,000 defaulters, KRA warned that failure to pay Sh2,000 penalty fee before July 30th, 2019 would attract punitive measures.
Among the punitive measures the taxman plans to take against defaulters include deactivating their PINs, which will affect services such as processing of monthly salaries.
“Please make payment of Sh2,000 within 15 days ending 30 July failure to which attracts collection enforcement measures,” the notice read in part.
Tax Procedures Act of 2015 allows KRA to make deductions from defaulter’s salary.
“Under subsection (2) requires an agent to deduct a specified amount from a payment of a salary, wages or other similar remuneration payable at fixed intervals to the taxpayer.”
“The amount required to be deducted by an agent from each payment shall not exceed twenty percent of the amount of each payment of salary, wages or other remuneration (after the payment of income tax),” the law outlines.
KRA said 3.6 million Kenyans filed their tax returns against a target of four million.
