KISUMU, Kenya, Feb 5 – Kenya Revenue Authority plans to grow its tax base from 3.9 million to 7 million by 2021.
KRA Commissioner Mohammed Omar in charge of Strategy and Risk Management said the Authority’s 7th corporate plan running from 2019 to 2021 outlines measures to enlist more active taxpayers.
“At the end of the 6th corporate plan, the revenue to GDP was 18.3 percent. In the 7th corporate plan, we are taking it to 19.2 percent,” said Omar.
Revenue to GDP ratio is a measure used to indicate a country’s tax collection compared to its GDP, with Africa’s average being 18 percent.
He said the 6th corporate plan managed to push the taxpayers’ base thus contributing significantly to the Gross Domestic Product.
Omar said the expansion of the tax base will ensure that the country collects more revenue for its development.
Speaking in Kisumu during a regional sensitization meeting on the three years plan, Omar said the tax burden must be shared among Kenyans.
Ruth Wachira head of domestic taxes announced said that KRA has laid down infrastructure to ensure compliance in payment of tax.
Wachira said KRA has the capacity to collect revenue for the national and county governments should the responsibility be handed over to them.
KRA plans to visit six regions in the country to sensitize the public on the strategic direction of the plan.