NAIROBI, Kenya, June 24 – The Kenya Revenue Authority (KRA) has introduced a simplified Pay As You Earn (PAYE) return submitting and fee course of in a transfer aimed toward enhancing person expertise and easing tax compliance for all employers throughout the general public, non-public, and not-for-profit sectors.
The simplified Excel-based PAYE return device, which can grow to be obligatory for all employers beginning July 2025, introduces a extra streamlined method that’s anticipated to considerably scale back the executive burden beforehand related to month-to-month PAYE returns.
Under the improved submitting system, employers will now have the ability to file returns based mostly on the particular classes of their workers, bettering accuracy and effectivity.
“Kenya Revenue Authority (KRA) has simplified the PAYE return submitting and fee course of to align with suggestions acquired from taxpayers. The simplified course of facilitates employers to file returns related to their classes of workers,” KRA said.
KRA has additionally invested in digital integration to make sure seamless submitting and fee.
The simplified PAYE return is now linked to key authorities programs, together with the Integrated Financial Management Information System (IFMIS), the Central Bank of Kenya (CBK), and the Government Human Resource Information System (GHRIS), by means of sturdy API connections.
This integration permits simultaneous processing of PAYE, the Affordable Housing Levy, NITA Levy, and different statutory deductions.
According to KRA, these reforms are a part of ongoing efforts to modernise tax administration and supply industry-specific options that assist voluntary compliance.
The authority reaffirmed its dedication to partnering with employers and stakeholders to constantly enhance service supply and tax programs.