April tax receipts rise by 28pc to Ksh.153B


April tax receipts rise by 28pc to Ksh.153B
KRA offices in Nairobi's Times Tower. PHOTO | COURTESY

In Summary

  • The growth in the tax revenues collected on behalf of the exchequer by the Kenya Revenue Authority (KRA) was largely attributable to rebounding economic activity in the period.
  • While greater restrictions affecting five key Counties hit home during the month, business activity remain largely uninterrupted in contrast to April last year when the macro-economic environment was highly volatile.
  • Historically, the tax man has booked its highest collections in the months of April, June, September and December.

Tax receipts booked by the National Treasury during the month of April rose by 27.7 per cent to Ksh.153.4 billion from Ksh.120.1 billion at the same-time last year.

The growth in the tax revenues collected on behalf of the exchequer by the Kenya Revenue Authority (KRA) was largely attributable to rebounding economic activity in the period.

While greater restrictions affecting five key Counties hit home during the month, business activity remain largely uninterrupted in contrast to April last year when the macro-economic environment was highly volatile.

Cumulatively, tax revenues through 10 months of the fiscal year now stands at Ksh.1.191 trillion, slightly below Ksh.124 trillion in taxes in the same period covering the last financial year.

Total ordinary revenue (tax+non-tax revenues) meanwhile total to Ksh.1.272 trillion, a sum lesser than Ksh.1.346 trillion in a comparable period last year.

Despite the improving collections, KRA is widely expected to miss its revised revenue collection target of Ksh.1.470 trillion, dragged down largely by effects of the pandemic on collections at the start of the financial year in July.

To meet the truncated targets, KRA still has the hard task of averaging Ksh.139.5 billion in collections across May and June.

Historically, the taxman has booked its highest collections in the months of April, June, September and December.

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