KRA to Leverage on Technology to Enhance Tax Administration

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The Kenya Revenue Authority (KRA) is set to accelerate technology adoption in tax administration to boost compliance and improve effectiveness and efficiency.

Speaking during the 3rd Annual Tax Summit 2017 held at the Nairobi University KRA Commissioner General John Njiraini noted that KRA’s transformation journey shifted the KRA’s focus from enforcement to building taxpayer trust through facilitation.

“The Kenya Revenue Authority has been at the forefront in transforming the country’s tax system with the goal of enhancing efficiency and tax compliance to achieve a friendlier and a more participatory tax regime,” he said.

“This year’s summit is in line with KRA’s current strategic plan, which is overseeing a radical business model shift from compliance by enforcement approach to engaging taxpayers to ensure that KRA systems are more efficient secure and credible while exhibiting transparency and accountability,” he added.

The EABL Corporate Relations Director Eric Kiniti addressing delegates at the KRA Tax Summit 2017

As part of the initiatives to transform the tax system, KRA will in April 2018 roll out the Integrated Customs Management System (iCMS) to seal loopholes in tax evasion. iCMS is a modern Customs management system. The new system will be a game changer in the Customs and Border Control Department. iCMS will foster faster clearance of cargo at the port, streamline Customs processes and enhance trade facilitation in Kenya and the entire East Africa Community (EAC) region.

Also at the event was the Commissioner for Strategy, Innovation and Risk Management, Dr. Mohammed Omar Mohammed who said that the Summit is the prime event to innovate ideas, engage in fruitful discussions and have better methodologies for enhancing the tax base.

“A participatory approach in our tax environment leads to a better and efficient tax administration. At KRA, we have embraced the need to have an integrated approach to advocate for a more stakeholder need driven tax environment. We have witnessed a gradual transformation of mind-set to that of a learning organisation.”

The tax summit themed: Rethink, Remodel, Rebuild: Enhancing Tax Systems for Sustainable Economic Development aimed at strengthening relationships with stakeholders, demystify taxation and its role in socio-economic development of a country. It also aligned tax policies to emerging trends and innovations while creating a platform for sharing research outputs, experiences and knowledge on taxation.

The summit consisted of government officials, academia experts and regional revenue authorities representatives explored the administrative and operational challenges within the tax environment, challenges affecting growth of the tax base and cultural challenges that affect tax compliance.