Tax compliance is not just a statutory requirement—it’s a critical part of sound financial management and business sustainability. However, many organizations, particularly SMEs across Kenya and Africa, continue to fall into avoidable tax traps. Below are six common tax mistakes businesses make and practical strategies to prevent them. Treating Tax
What You Need to know about the Significant Economic Presence (SEP) Tax which replaces the Digital Service Tax (DST) Significant Economic Presence Tax (SEPT). Kenya implemented the Digital Service Tax via the Finance Act 2020, which took effect on January 1, 2021. The Digital Service Tax (DST) applied to income earned
Tax Laws Amendment Bill, 2024: What It Means for You Decoding the Tax Laws Amendment Bill, 2024: What It Means for You In an ambitious move to boost economic growth and address the fiscal deficit, the National Treasury has proposed the Tax Laws Amendment Bill, 2024. This Bill introduces sweeping
Highlights of the Public Benefit Organization (PBO) Act and its Impact on the NGO Sector. “Legal, Tax and Risk Management” The Public Benefit Organizations Act, 2013 (PBO Act) was officially enacted in Kenya, with its commencement date set for 14 May 2024 replacing the previous Non-Governmental Organizations Coordination Act of 1990.
Exemption It is a requirement for all persons carrying on business in Kenya, whether registered for VAT or not, to electronically generate their invoices through eTIMS. Furthermore, only expenditures supported by eTIMS-compliant invoices will be allowed as a deduction for income tax purposes. However, the Tax Procedures (Electronic Tax Invoice)
Tax Alert: Supreme Court of Kenya Temporarily Stays Court of Appeal Ruling on Finance Act 2023 The Supreme Court of Kenya, on August 20, 2024, issued a temporary stay on the Court of Appeal’s ruling that declared the Finance Act 2023 unconstitutional. This stay is in effect until the Supreme
Notification of Migration of Legacy System Balances to iTax by KRA The Kenya Revenue Authority (KRA) has notified the public through a notice published on their website and social media accounts that they have migrated VAT and income tax ledger balances from the legacy system to the iTax system. Below
Transform Your Business with Odoo and eTIMS Integration Odoo has developed a robust integration with Kenya’s Electronic Tax Invoice Management System (eTIMS) to streamline and automate the invoicing process for businesses. This integration ensures compliance with Kenya Revenue Authority (KRA) regulations by allowing businesses to automatically generate and transmit tax
2023 Tax Filing Alert With less than 30 days to the filing deadline for December 2023 year-ends, here is what you need to know: Deadline: 30th June 2024 Who needs to file: Companies & individuals regardless of whether they had any transactions or earned income in 2023 Required documents: Corporate
Re-introduction of the Affordable Housing Levy The Kenya government’s affordable housing initiative faced a major legal challenge when, on November 28, 2023, the High Court of Kenya ruled that the affordable housing levy, which had been implemented under the Finance Act 2023, was unconstitutional. Following an appeal by the government