Nairobi News

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KRA warns Facebook entrepreneurs on tax evasion

Kenya Revenue Authority (KRA) has put entrepreneurs doing business on digital platforms on notice over tax evasion.

Many Nairobi youths have converted social media platforms into market stalls for selling wares. Deliveries are usually made free of charge within the city centre, while a small fee is charged for home deliveries.

In a public notice, the taxman noted of an increasing number of online entrepreneurs who do not file tax returns or pay taxes on transactions.

“KRA would like to advise that unless income or supply is expressly exempt in the law, appropriate taxes should be paid,” read the notice.

“Taxpayers whose annual taxable turnover is Sh5 million and above should register for VAT obligation and charge tax, while those whose turnover is below Sh5 million should pay presumptive tax.”

The authority has also invited taxpayers who need assistance in declaring taxes to a sensitization program.

“To this end, all taxpayers engaged in online trading in goods and services are invited for a sensitization forum on 17th May 2019 from 8:30 am to 11:00 am at Hilton Hotel,” read the notice.