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KRA Announces Green Channel Framework to Hasten Refunds

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KRA Announces Green Channel Framework to Hasten Refunds

Kenn Abuya by Kenn Abuya
February 10, 2023
in News
Reading Time: 2 mins read
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Maximum revenue collection appears to be the top goal of the current government, which has gone to greater lengths in reminding Kenyans that they need to pay taxes at all times. It is also a period that has been marked by notable inflation, which KRA had also promised that it would adjust accordingly in its relentless pursuit of ensuring its targets are reached.

Today, the tax authority has acknowledged that it understands that the business environment has not been conducive, which is why it is putting in place some systems and measures to alleviate existing constraints.

“The Kenya Revenue Authority (KRA) has reassured stakeholders in the private sector of continued facilitation to eradicate bottlenecks and create a more conducive environment for business,” reads a statement from KRA.

READ MORE: KRA Has Introduced eTIMS. What Happens to Taxpayers Using Current TIMs Platform?

The Commissioner General of KRA spoke at the Ninth Tax Round Table gathering with members of the Kenya Private Sector Alliance. He reaffirmed the KRA’s plans to make their processes easier for businesses by continuously automating them with a facilitative approach to tax administration.

The Commissioner General also mentioned that the KRA has established systems, such as the Green Channel framework, to enhance transparency and ensure timely processing of Value-Added Tax (VAT) refunds.

Green Channel Framework

The Green Channel framework will prioritize processing applications with minimal verification, based on a post-payment audit. This will make it easier for businesses and remove the need for a time-consuming 100% confirmation process before refund approval.

Simply put, the channel is used to hasten refunds for taxpayers who are compliant.

KRA adds that the tracking of transit goods has been moved from the Electronic Cargo Tracking System (ECTS) to the Regional Electronic Cargo Tracking System (RECTS), which is jointly used by both the Kenya Revenue Authority and the Uganda Revenue Authority.

KRA has overall reassured stakeholders that they will have a fair tax audit process.

The Authority has further informed the public that it always issues a 30-day notice to taxpayers before an audit and that the time frame is flexible based on the taxpayer’s request or engagement with it.

Tags: Kenya Revenue Authority
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Kenn Abuya

Kenn Abuya

Kenn Abuya is a friend of technology, with bias in enterprise and mobile tech. Share your thoughts, tips and hate mail at [email protected]

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