Introduction
The recently unveiled 2023/2024 budget, presented on 15th June 2023, introduces a tax amnesty programme effective from 1st September 2023 to 30th June 2024. This initiative offers a 100% waiver on all penalties and interests on principal taxes accrued up to December 31, 2022. The focus of this programme is to provide relief to taxpayers burdened by outstanding penalties and interests on tax debts.
Who Qualifies?
The eligibility criteria for the tax amnesty are designed to be inclusive, ensuring that all taxpayers have the opportunity to participate. Firstly, individuals or entities with no outstanding principal taxes owed to the Kenya Revenue Authority (KRA) but have incurred penalties and interest up to December 31, 2022, automatically qualify for a waiver without the need for an application. Secondly, those with outstanding principal taxes accrued up to December 31, 2022, must apply for the amnesty and propose a payment plan to settle any remaining principal taxes by June 30, 2024.
Understanding Principal Taxes
The tax amnesty programme applies to a range of tax heads specified under the Tax Procedures Act, 2015.
How to Apply
Applying for tax amnesty is a straightforward process. Taxpayers can choose from three convenient methods:
- Log into their iTax page, navigate to the Amnesty application tab under Debt and Enforcement, and submit the application.
- Click on the link provided via email or SMS, which will direct them to their iTax page to complete the application.
- Visit the nearest Tax Service Office (TSO) or KRA help desk at Huduma Center for personalized assistance with the application process.
Conclusion
Whether you’re a business owner or an individual taxpayer, the tax amnesty programme presents a valuable opportunity to address your tax obligations. Seize this chance to reconcile your taxes and benefit from the waiver of penalties and interests. Act now before the window of opportunity closes. For further assistance or inquiries, reach out to Olinga Advocates for expert guidance and support.