KRA Freezes Over 60,000 Tax Payers’ Pins

The Kenya Revenue Authority, on Thursday June 8, has made 66,269 pins dormant following tax payers’ failure to file their returns during the set timeline.

The blocked pins, which belonged to individuals and business entities, would lead to their VAT obligations deregistered and cancelled.

The owners of the pin would also be barred from charging VAT on their supplies and also fail in making input VAT claims on supplies. However, the taxpayers will still retain their pins but will not be able to transact due to their frozen accreditations.

“Deregistering or cancelling of VAT obligations is a continuous excise and will affect taxpayers who perennially fail to file their VAT monthly returns or those who persistently file nil VAT returns, among others,” KRA said in a public notice released on Thursday.

However, those who have their pins deregistered will not be free from their previous tax obligations. They would still remain liable for any acts done or omitted while they were still registered for their VAT obligation.

KRA urges all VAT registered taxpayers to comply with all their tax obligations in order to avoid deregistration or other enforcement measures that the KRA would have to put in place. It also reminds taxpayers that charging VAT without an active VAT registration is an offence.