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KRA Adopts Hi-tech Tracking On Cars And Properties To Boost Revenue Collection




The Kenya Revenue Authority (KRA) has invested in high-tech to track cars and properties in a bid to nab tax cheats and boost revenue collection. The taxman has integrated the new system with the agencies to get real time data on motor vehicle purchases and property deals.

Agencies that KRA is integrating its systems include Kenya Power, National Construction Authority (NCA), the National Transport and Safety Authority (NTSA) among others.

The taxman is in a race to bring more people into the tax bracket and curb tax evasion in its quest to meet revenue targets that it has persistently missed in recent years.

luxury car purchases, construction contracts and register of landlords seeking electricity bill meters for their premises will be viewed in real time by the taxman, “KRA is undertaking system integrations with relevant institutions to facilitate faster access to data,” said Elizabeth Meyo, KRA commissioner in charge of domestic taxes.

Only a few Kenyans have officially registered as belonging to the high-income earners’ bracket leading to the KRA to believe a large group of super-rich individuals in the country have hidden their wealth in trusts and a web of companies so as to evade taxes.

The taxman has also tapped into the Kenya Civil Aviation Authority (KCCA) database to access information that will reveal individuals who own helicopters and light aeroplanes. Real time car registration details will be used to identify individuals who own high-end vehicles but have little to show in terms of taxes remitted while Kenya Power meter registrations will help identify landlords who do not pay taxes.

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By end of June 2020, all businesses will be expected to have installed new electronic tax registers connected through the Internet to KRA’s systems, allowing it to monitor all transactions instantly. “There is an ongoing implementation of the Tax Invoice Management System (TIMS), which upon rollout, shall enable KRA to have visibility of all business transactions on a real-time basis,” Ms Meyo said.

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