Wednesday, October 15, 2025
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KRA applauded for advancing SME tax compliance and inclusivity

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The Deputy Chief of Staff at the Executive Office of the President Hon. Josphat Nanok has commended the Kenya Revenue Authority (KRA) for championing digital transformation and inclusivity in tax administration. Speaking at the opening of the KRA Summit 2025, Hon. Nanok emphasized that efficient, customer-focused, and technology-driven tax systems are central to Kenya’s economic growth and the realization of the Bottom-Up Economic Transformation Agenda (BETA) and Vision 2030.

The Principal Secretary for Micro, Small and Medium Enterprises (MSMEs), Hon. Susan Mang’eni, also applauded KRA for its proactive efforts to support MSMEs in improving tax compliance and thriving in trade. Speaking on behalf of the Cabinet Secretary for Co-operatives and MSME Development, Hon. Wycliffe Oparanya, PS Mang’eni lauded the Authority for establishing a dedicated MSME department, streamlining tax regimes, and leveraging digital tools to simplify compliance.

“It is commendable that KRA has taken deliberate steps to redefine its relationship with the MSMEs. Tools such as e-TIMS and mobile-enabled platforms demonstrate a decisive shift toward inclusivity and convenience.” The PS said.

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She also noted that KRA’s recent innovations are enhancing accessibility to tax services, particularly for entrepreneurs in remote and underserved areas. She emphasized the ongoing transformation from enforcement to facilitation, and from compliance to partnership, as pivotal to improving MSME engagement with the tax system.

KRA exceeds target as tax collections in Kenya rise to Sh2.571 trillion

“When entrepreneurs encounter systems that are intuitive, affordable, and responsive, compliance no longer feels like a burden—it becomes a partnership,” she added. “We must continue simplifying tax processes, strengthening compliance mechanisms, and institutionalizing practical solutions that meet businesses where they are.”

KRA Commissioner General Humphrey Wattanga reaffirmed the Authority’s commitment to evolving from being viewed solely as a regulator to becoming a trusted service provider.

“Revenue administrations globally are grappling with the challenge of balancing efficiency with inclusivity,” he said. “KRA is determined to ensure that no taxpayer is left behind—whether due to geography, language, or digital access. Every taxpayer matters.”

Echoing this sentiment, KRA Board Chairman Ndiritu Muriithi urged tax authorities to place MSMEs at the centre of policy formulation.

“Predictability fosters trust, minimizes disputes, and strengthens the social contract between citizens and the state,” he said. “In an interconnected global economy, regional cooperation and information sharing can enhance compliance, curb illicit flows, and ensure fairness in taxation.”

The KRA Summit is a key platform under the Authority’s stakeholder engagement strategy. It convenes local, continental, and global partners to exchange insights, share best practices, and strengthen collaboration toward Domestic Resource Mobilization and modern, inclusive tax administration.

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