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KRA finally granted complete access to bank accounts.
maka
#21 Posted : Monday, November 13, 2017 6:54:49 PM
Rank: Elder

Joined: 4/22/2010
Posts: 11,522
Location: Nairobi
winmak wrote:
Swenani wrote:
obiero wrote:
winmak wrote:
maka wrote:
Angelica _ann wrote:
NSE .....CDSC smile



You still have to explain where you got the cash for the trades...If it doesnt add up they will just take your stocks or bonds....Bummer


Money going to CDS mostly is from a bank account where you already declared if above a million. What I find annoying is u accumulate over years then suddenly taxman wants to know after you have 20 m diligently saved and reinvested

Plus some stocks accumulate value over time. So 1m today could turn into 2m next year


Watu walipe tax, if you have been saving and paying taxes, you can easily prove it.

If your shares gain value, pay capital taxes upon disposal.




Hiyo ilitolewa


Exactly...
possunt quia posse videntur
Hobitke
#22 Posted : Monday, November 13, 2017 7:09:34 PM
Rank: New-farer

Joined: 5/22/2016
Posts: 69
Location: Nairobi
If only all the taxes were put to good use, most people would not refuse, as a business you pay tax, you see no benefits, as an individual you pay tax, you see no services, you even to pay health insurance . What are our taxes used for? paying Mps? Buying guzzlers as hospitals and roads get neglected? As fat cats keep getting fatter as the common man is over taxed as KRA keeps using trial and error methods to try and plug the deficits?
Gathige
#23 Posted : Monday, November 13, 2017 7:54:33 PM
Rank: Elder

Joined: 3/29/2011
Posts: 2,242
The best point to capture tax is at source of income. This is also the most efficient and cost effective point devoid of kick backs. Tax collection through fishing when you catch a suspect and they try to deduce the tax due is counterproductive in the long run.
"Things that matter most must never be at the mercy of things that matter least." Goethe
Chaka
#24 Posted : Monday, November 13, 2017 9:08:00 PM
Rank: Elder

Joined: 2/16/2007
Posts: 2,114
Would wish to know how the landlord/tenant reporting thing went?If I was a landlord and you report me,utalipa..
Gathige wrote:
The best point to capture tax is at source of income. This is also the most efficient and cost effective point devoid of kick backs. Tax collection through fishing when you catch a suspect and they try to deduce the tax due is counterproductive in the long run.

murchr
#25 Posted : Monday, November 13, 2017 9:33:36 PM
Rank: Elder

Joined: 2/26/2012
Posts: 15,980
the_cabal wrote:
Quote:
The taxman has set up a database known as Data Warehouse and Business Intelligence, which offers a single view of a taxpayer's profile, linking them with third-party systems such as banks and utility firms for easier determination of compliance.


Should i embrace mattress banking? Think



Who comes up with such names Shame on you
"There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
.
Angelica _ann
#26 Posted : Tuesday, November 14, 2017 7:50:20 AM
Rank: Elder

Joined: 12/7/2012
Posts: 11,935
This is a noble idea, let is see how it works out in implementation phase.
In the business world, everyone is paid in two coins - cash and experience. Take the experience first; the cash will come later - H Geneen
Swenani
#27 Posted : Tuesday, November 14, 2017 9:02:12 AM
Rank: User

Joined: 8/15/2013
Posts: 13,237
Location: Vacuum
Gathige wrote:
The best point to capture tax is at source of income. This is also the most efficient and cost effective point devoid of kick backs. Tax collection through fishing when you catch a suspect and they try to deduce the tax due is counterproductive in the long run.


What about those with foreign sources of income? How will KRA capture that?
If Obiero did it, Who Am I?
quicksand
#28 Posted : Tuesday, November 14, 2017 9:04:19 AM
Rank: Veteran

Joined: 7/5/2010
Posts: 2,061
Location: Nairobi
Chaka wrote:
Would wish to know how the landlord/tenant reporting thing went?If I was a landlord and you report me,utalipa..
Gathige wrote:
The best point to capture tax is at source of income. This is also the most efficient and cost effective point devoid of kick backs. Tax collection through fishing when you catch a suspect and they try to deduce the tax due is counterproductive in the long run.



You would never know who reported you. Tax obligations never lapse, and that is what should cause people worry. The records exist, and new data keeps coming in with all these legislative victories they are scoring. Never assume cause KRA has not yet claimed tax since some regulation came into effect that you are off the hook ...they are just incompetent and disorganized.
A day will come when advances in technology will allow them to scrutinize all these mountains of data and reach whatever deep, dark depths you are hiding and take monies owed from you ....
the_cabal
#29 Posted : Tuesday, November 14, 2017 4:17:53 PM
Rank: New-farer

Joined: 11/20/2015
Posts: 16
Location: Iraq
Swenani wrote:
Gathige wrote:
The best point to capture tax is at source of income. This is also the most efficient and cost effective point devoid of kick backs. Tax collection through fishing when you catch a suspect and they try to deduce the tax due is counterproductive in the long run.


What about those with foreign sources of income? How will KRA capture that?



For that, KRA did issue tax amnesty for any income earned in foreign countries.

"The Kenya Revenue Authority (KRA) has now issued guidelines on the eligibility and application process for the amnesty. According to the guidelines, the application for amnesty must be submitted online through the iTax platform using form A/37B on or before 31 December 2017. The application should give a complete and accurate disclosure with respect to the assets and liabilities that resulted from the foreign income." Source [PDF] - Ernst & Young

KRA Public Notice [PDF] - Tax Amnesty Guidelines on Foreign Income
Mganga haagizi Mchicha.
the_cabal
#30 Posted : Tuesday, November 14, 2017 4:45:13 PM
Rank: New-farer

Joined: 11/20/2015
Posts: 16
Location: Iraq
the_cabal wrote:
Swenani wrote:
Gathige wrote:
The best point to capture tax is at source of income. This is also the most efficient and cost effective point devoid of kick backs. Tax collection through fishing when you catch a suspect and they try to deduce the tax due is counterproductive in the long run.


What about those with foreign sources of income? How will KRA capture that?



For that, KRA did issue tax amnesty for any income earned in foreign countries.

"The Kenya Revenue Authority (KRA) has now issued guidelines on the eligibility and application process for the amnesty. According to the guidelines, the application for amnesty must be submitted online through the iTax platform using form A/37B on or before 31 December 2017. The application should give a complete and accurate disclosure with respect to the assets and liabilities that resulted from the foreign income." Source [PDF] - Ernst & Young

KRA Public Notice [PDF] - Tax Amnesty Guidelines on Foreign Income



UPDATE:

37B. Commissioner to refrain from assessing tax for income earned outside Kenya

Notwithstanding any other provision of this Act, the Commissioner shall refrain from assessing or recovering taxes, penalties or interest in respect of any year of income ending on or before the 31st December, 2016, and from following up on the sources of income under the amnesty where —

(a) that income has been declared for the year 2016 by a person earning
taxable income outside Kenya; and
(b) the returns and accounts for the year 2016 are submitted on or before
the 31st December, 2017:
Provided that this section shall not apply in respect of any tax where the person who should have paid the tax—

(i) has been assessed in respect of the tax or any matter relating
to the tax; or
(ii) is under audit or investigation in respect of the undisclosed
income or any matter relating to the undisclosed income.
"

The Finance Act 2016 introduced Section 37B into the Tax Procedures Act, 2015. - The Revised Edition 2016 [PDF]

Mganga haagizi Mchicha.
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