Tax experts now challenges the notice issued by the Kenya revenue authority that stated that the chairman of the board KRA has no mandate to issue suspension on tax relief saying that it’s the responsibility of the commissioner general or the ones at KRA.
The KRA has announced the suspension of all exemptions,tax refunds and adonments with immediate effect. This means that all those who have applied for refunds for exemptions on various taxes will have to wait until the audit is done…
A statement from KRA signed by the chairman stated that over the last five years Kenya has forgone six hundred billion shillings on tax revenue through exemptions. This comes even when the government has promised to impose high taxes on imports in the coming financial year….
Now questions are being raised whether the tax relief suspension issues by the tax men are anchored in law. The tax experts are stating that the board chair has no powers to issue the directives saying that the powers to implement policy matters like suspension of tax relief…
Now every resident is entitled to a personal relief of 28,800 shillings per year or 2400/month. For person’s living with disability,the law allows them to apply for exemption from income tax for person’s earning less than 150000. The executive director of people with disability,harun Hassan says that the communication from KRA has caused panic to community people as they don’t know at which extent they will be affected….
