Kenya Revenue Authority (KRA) has moved to punish tax cheats and evaders by delisting their Personal Identification Numbers (PINs).
KRA Commissioner in charge of Domestic Taxes Elizabeth Meyo said the decision follows the expiry of the window given to tax defaulters to pay up.
The group had been given until June 20th, 2020 to clear all outstanding tax arrears and penalties or propose a payment plan with the taxman.
“KRA is, therefore, advising all taxpayers with outstanding tax liabilities and have not paid or entered payment plans to do so by 20th of June 2020, failure to which appropriate enforcement measures will be instituted against the outstanding debt,” a notice sent to tax defaulters read.
“The affected taxpayers are advised to get in touch with the Tax Service Office in order to settle their tax debts or propose payment plans.”
Tax defaulters owe the government in excess of Sh250 billion. Meyo said these individuals and companies will have their PINs deregistered and their assets sold to recover unpaid monies in taxes as prescribed by the law.
Under the Tax Procedures Act of 2015, KRA has the powers to auction assets owned by tax defaulters in addition to prosecuting them too.
The delisting of the PINs means they can no longer conduct business within Kenyan borders. Without a PIN, one can also not be able to register, transfer, or license any motor vehicle or register a business under their name.
I see a lot of people losing…
I see a lot of people losing their properties through the usual corrupt nature of our country. Can this start with the big boys first. They own farms, commercial real estates and all manor of businesses but don’t pay taxes. Most people who will lose properties are those in the diaspora that are investing back in Kenya. You may think you own a plot only to find out it was sold because it does not march a PIN number.
Is it a good idea to invest in Kenya while in the diaspora?