Blog – Faman & Company Consultants Limited

February 4, 2025

Kenya is set to increase NSSF deductions to 6% of salaries starting Feb 1,2025.

Employees will contribute up to Sh4,320 monthly, up from Sh2,160, with employers matching the amounts. More details below: The adjustment will see the lower income limit rise to Sh8,000 (from Sh7,000) and the upper income limit to Sh72,000 (from Sh36,000). —Minimum contribution: Sh480 (from Sh420)—Maximum contribution: Sh3,840 (from Sh2,160)—Employees earning Sh50,000 will contribute Sh3,000—Those earning Sh72,000 and above will contribute…

VAT 0 24 sec read

December 29, 2024

Amnesty on Interest and Penalties for Tax Periods Ending 31st December 2023

The Kenya Revenue Authority (KRA) announces that the Tax Procedures (Amendment) Act, 2024, has introduced a tax amnesty program waiving interest, penalties, and fines on tax debts for periods up to December 31, 2023. This program will be available from December 27, 2024, to June 30, 2025. The tax amnesty will be applied as follows: For taxpayers who have cleared…

VAT 0 31 sec read

October 14, 2024

M-Pesa paybills to become KRA tax registers by December 25

The government has announced a renewed crackdown on businesses, aiming to target tax evaders by using mobile money paybills and till numbers, following the failure of the eTIMS system to address the issue. According to a plan revealed by Moses Kuria, the President’s senior economic adviser, the government intends to transform paybill and till numbers into electronic tax registers (ETRs)…

VAT 0 2 min read

June 18, 2024

Data protection waiver to spy on tax cheats

The Kenyan Treasury’s proposal to amend the Data Protection Act, 2019, has stirred significant controversy. The proposed changes would grant the Kenya Revenue Authority (KRA) unrestricted access to sensitive personal data without needing a court warrant.This data includes property ownership, bank accounts, and details held by various institutions such as banks, telecom operators, utilities, schools, land registries, and the National…

VAT 0 1 min read

June 18, 2024

Government drops contentious tax proposals from the Finance Bill 2024.

16% VAT on bread removed Excise duty on vegetable oil removed VAT on transportation of sugar removed 2.5 per cent Motor Vehicle Tax removed Eco Levy on locally manufactured products removed eTims receded from farmers and small businesses with a turnover of below Ksh.1 million Excise duty imposed on imported table eggs, onions and potatoes to protect local farmers No…

VAT 0 27 sec read

June 13, 2024

Kenyans who are 25 years old and living with their parents must now independently secure medical insurance under the Social Health Insurance Fund (SHIF).

These individuals will be classified as separate households, regardless of their living situation, and will be required to pay a monthly fee of KSh 300 if they are unemployed. This directive follows the government’s recent plan to have prisoners contribute to taxes through work.

VAT 0 38 sec read

May 13, 2024

Small businesses are relieved from the burden of VAT registration.

As the Finance Bill proposes to raise the threshold form those making sh5 million in annual turnover to those with annual sales under sh8 million, businesses could be exempt from having to register as value-added tax (VAT) agent. The proposed changes to Section 34 of the VAT Act, 2021, in the Finance Bill 2024, would relieve businesses with annual turnovers…

VAT 0 1 min read

May 12, 2024

“eTIMS Registration Now Mandatory for All Businesses”

In a significant policy reversal, the Kenya Revenue Authority (KRA) has rescinded its previous decision to exempt businesses with an annual turnover of Ksh5 million and below from producing invoices through the electronic Tax Invoice Management System (eTIMS). The latest gazettement of Kenya Subsidiary Legislation 2024 eliminates these exemptions,

VAT 0 2 min read

May 9, 2024

KRA pursues landlords who haven’t ‘raised rent for tenants’ in years.

The Kenya Revenue Authority (KRA) is now targeting landlords who ‘have not’ raised their rent over the past couples of years. According to the KRA, the failure by these landlords to raise rent is suspicious and points to a deliberate attempt at cheating the taxman when filing returns.

VAT 0 1 min read

May 5, 2024

List of Hefty Penalties Kenyans Face for Defying KRA Tax Guidelines

The current regime has embarked on increasing the tax base to collect more revenue, as the government moves towards its vision of ensuring it relies on revenues raised instead of loans to finance its operations.

VAT 0 2 min read

Kenya is set to increase NSSF deductions to 6% of salaries starting Feb 1,2025.

Amnesty on Interest and Penalties for Tax Periods Ending 31st December 2023

Kenya is set to increase NSSF deductions to 6% of salaries starting Feb 1,2025.

Amnesty on Interest and Penalties for Tax Periods Ending 31st December 2023

M-Pesa paybills to become KRA tax registers by December 25

Data protection waiver to spy on tax cheats

Government drops contentious tax proposals from the Finance Bill 2024.

Kenyans who are 25 years old and living with their parents must now independently secure medical insurance under the Social Health Insurance Fund (SHIF).

Small businesses are relieved from the burden of VAT registration.

“eTIMS Registration Now Mandatory for All Businesses”

KRA pursues landlords who haven’t ‘raised rent for tenants’ in years.

List of Hefty Penalties Kenyans Face for Defying KRA Tax Guidelines

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