The Kenya Revenue Authority (KRA) has put on notice persons engaged trading online. The tax collector has said online businesses are required to file returns on all their transactions unless income from such trade is explicitly exempt in the law.
“KRA would, therefore, like to remind the taxpayers that the self-assessment regime requires them to file and pay their taxes which may include VAT, Excise Duty, Withholding Tax, PAYE, Corporate taxes and any other tax obligation required under the business,’ reads a KRA statement.
Online business and #ecommerce activity constitutes taxable income and Kenya’s taxman is watching. Register for VAT (16%) if your turnover is over $50,000. https://t.co/0ikrmhaet8
— Bankelele (@bankelele) May 9, 2019
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KRA specified that the mentioned taxes, such as businesses registering for VAT and charge tax if their annual taxable income is more than Ksh 5 million. Those whose turnover is under Ksh 5 million should pay presumptive tax.
“To this end, all taxpayers engaged in online trading in goods and services are invited for a sensitization forum on 17th May, 2019 from 8:30 a. m. to 11:00 a. m. at Hilton Hotel,” the notice clarified.
