KRA opens window for Tax Amnesty till June 2025

The Kenya Revenue Authority (KRA) has announced a significant opportunity for taxpayers with outstanding tax liabilities. Through the Tax Procedures (Amendment) Act, 2024, a tax amnesty has been introduced on interest, penalties, or fines on tax debt accrued up to 31st December, 2023. This amnesty program is designed to provide financial relief to taxpayers while encouraging compliance and reducing tax-related stress.

Key Details of the Tax Amnesty Program

The tax amnesty period will run from 27th December, 2024, to 30th June, 2025. Taxpayers can use this window to regularize their tax status under the following terms:

1. Automatic Waiver for Paid Principal Taxes If you have already settled all your principal tax obligations for the period up to 31st December, 2023, you qualify for an automatic waiver of any penalties and interest related to that period. Importantly, no formal application for the amnesty is required in this case.
2. Payment Plan Option for Outstanding Principal Taxes For those who have not yet cleared their principal taxes up to 31st December, 2023, there’s still an opportunity to benefit.

Why This Matters to Taxpayers

This tax amnesty provides a golden opportunity for individuals and businesses to clear their tax slate without the burden of additional penalties and interest. It is a chance to regularize your tax affairs and avoid the risks associated with unresolved tax liabilities, such as legal action or restrictions on future business transactions.

How FaidiHR Can Help

Managing tax compliance can be a daunting task, especially when it comes to tracking payments, generating reports, and maintaining accurate payroll records. This is where FaidiHR?comes in. Our cloud-based HR and payroll management platform simplifies tax management by:

• Automatically calculating statutory deductions and taxes.
• Generating accurate reports, including tax forms like P9.
• Providing tools to manage casual, contract, and permanent employee payrolls with ease.

Don’t wait until the last minute—prepare for the tax amnesty now! Partner with FaidiHR to ensure your payroll processes are accurate and compliant. Click?here?to learn more and schedule a demo today.

Take this step toward financial clarity, tax compliance, and business efficiency with FaidiHR by your side!