Friday, November 8, 2024 – President William Ruto’s Economic Advisor David Ndii has shed more light on how the government will use Paybills and Till numbers to collect taxes.
This follows the revelation by
Moses Kuria that by December 25, 2024, the government will roll out a plan
requiring small businesses to use paybills and tills as virtual electronic tax
registers (ETRs),
Speaking during the NCBA Bank
Economic Forum 2024 on Wednesday, Ndii explained the need for the new rollout
and gave a detailed explanation of how Paybills and Tills will be used to
expand the tax base.
Kuria revealed that every
business transaction processed via these digital payment methods will
automatically be recorded for taxation purposes.
So how will this exactly work,
and how will the government be collecting taxes from the paybills and tills?
Well, according to Ndii, the
Kenya Revenue Authority (KRA) will be using software that will attach the
payment service providers with the Paybill and Till numbers to ensure that all
these payments go into the system and are taxed.
Ndii was confident that this new
system would increase the tax base, especially since it is a method that the
government has already tried, and according to him, has witnessed a tremendous
increase.
This new move will tighten the
loopholes leaving no room for discrepancies and underreporting.
The Kenyan DAILY POST
0 Comments