KRA should improve ties with employers – Business Daily
Kenya Revenue Authority (KRA) Commissioner General Githii Mburu. PHOTO | DIANA NGILA | NMG
The Kenya Revenue Authority (KRA) has warned that it will penalise employers for under-declaring payrolls and denying the government the much-needed collections at a time the economy is choking under debt.
Out of this, the KRA is targeting a number of perks, including per diem, gym, school fees and phone allowances that senior or star workers enjoy.
The Kenya National Bureau of Statistics (KNBS) revealed that the number of workers earning above Sh100,000 monthly was bigger by more than 200,000.
This, among other things, is a big number that should raise the alarm in terms of revenue collection.
However, the taxman is unlikely to be successful without collaborations with other agencies and employers.
Tax collection is a high-security service that should be backed by real-time data, a feat that can only be achieved through collaboration among agencies like the KRA, KNBS, and the Public Service Commission.
To access private sector data, the government can work closely with the Federation of Kenya Employers in trying as much as possible to get hold of the latest employment and payroll figures.