Nil Returns KRA: Kenya Revenue Authority is now set to limit the number of times Kenyans can file nil returns. According to the new plans, KRA will limit the number of times that a person can file nil returns to three years. After this period, a tax payer who has been filing nil returns will be required to prove some level of commercial viability.
This was revealed during a taxpayers sensitization forum, in which the KRA said that many people who filed nil returns were commercially viable.
The KRA said that filing of nil returns was being used as an escape route for Kenyans who didn’t want to file returns.
“We know then and see them every day. Some of them drive high end Subarus and are in entertainment joints every day. They live in Kilimani and spend their time flaunting their flashy lifestyle on Instagram. How on earth can they claim they have zero income?” the KRA Director General James Githii Mburu said.
This comes weeks after the KRA deactivated over 60,000 personal identification numbers owned by taxpayers who either filed nil returns every year or who did not file returns at all.
The new directive now implies that those who will go beyond the three year period will risk losing access to government services.
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This directive has received support from the National Treasury. The Treasury reasoned that the move was long overdue and in line with capitalism. “Capitalism has no room for anybody who is not paying taxes. If you have a KRA PIN, act your part and give KRA something every year. No nation has ever found its way to prosperity through filing nil returns.”
