Kenya mulls new measures to boost tax revenues

3d people - man, people push up word "tax"

Kenya plans to roll out new measures to boost tax revenues, a senior official said Thursday.

Mohamed Omar, Commissioner for Strategy, Innovation and Risk Management at the Kenya Revenue Authority (KRA), said in a statement that the Integrated Customs Management System (iCMS) will enable the country to conduct cargo value benchmarking as well as uploading of cargo import data from shipping manifest to prevent import falsification, which results in tax revenue loss.

“Through these measures we hope to achieve consistent revenue growth by ensuring more tax compliance,” Omar said.

Other tax and policy reforms that have been instituted by the revenue agency include deployment of modern cargo scanners at the main border points.

Omar said Kenya’s tax revenue growth over the past decade has been commensurate with prevailing economic indicators such as gross domestic product (GDP).

He noted that revenue collection in 2016/17 financial year reached 13.6 billion U.S. dollars when compared to 12.1 billion dollars in the previous financial year.

KRA said that in 2016/2017, Kenya’s Tax-to-GDP ratio stood at 17.1 percent, which is among the highest in non-oil economies within Africa, and the highest within the East African Community bloc where the average stands at 14.8 percent. Enditem

Source: Xinhua/

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