The Kenya Revenue Authority (KRA) is responsible for tax administration in Kenya, ensuring compliance among individuals and businesses. However, many taxpayers face common challenges while using KRA services, which can lead to delays, penalties, and frustration. This article highlights some of the most common KRA-related issues and offers practical solutions to resolve them quickly. Boochy Cyber is here to help you navigate these challenges efficiently.
1. Forgotten KRA PIN and Password
Issue: Many taxpayers forget their KRA PIN or iTax password, making it impossible to access their accounts. Solution:- Retrieve your KRA PIN by sending your ID number to KRA via email ([email protected]) or visiting the nearest KRA office.
- Reset your iTax password by clicking on “Forgot Password” on the iTax portal. An email will be sent to your registered email with a reset link.
- Ensure you update your email address on iTax to facilitate easier recovery in the future.
- Boochy Cyber can assist in retrieving your PIN or resetting your password quickly.
2. Challenges in Filing Nil Returns
Issue: Taxpayers with no taxable income are required to file nil returns but often face difficulties due to system errors or lack of knowledge. Solution:- Log into your iTax account and select the “Returns” menu.
- Choose “File Nil Return” and follow the prompts.
- Ensure that your PIN is correctly registered for the tax obligation you are filing.
- If facing system errors, try again at off-peak hours or clear your browser cache.
- Boochy Cyber provides fast and hassle-free nil return filing services.
3. Mismatch of Name and PIN Details
Issue: Some taxpayers encounter discrepancies between their registered name and KRA PIN details, leading to application rejections. Solution:- Contact KRA customer support to correct any errors.
- Submit a copy of your national ID and any supporting documents via email or visit a KRA Huduma Centre for assistance.
- Ensure your names match those in government records such as ID or passport.
- Boochy Cyber can help you rectify name mismatches and update your details.
4. Issues with Tax Compliance Certificate (TCC) Application
Issue: Taxpayers sometimes get their TCC applications rejected due to pending tax obligations or filing errors. Solution:- Log into your iTax account and check for any outstanding tax liabilities.
- Ensure all returns are filed correctly, even for years when you had no taxable income.
- If issues persist, visit a KRA office with your business documents and previous tax returns for assistance.
- Boochy Cyber assists in TCC applications and ensures you meet all requirements for approval.
5. Delayed Tax Refunds
Issue: Taxpayers who overpay tax often experience long delays in receiving refunds. Solution:- Ensure that you apply for a refund through the iTax portal under the “Refunds” section.
- Provide all necessary documents, including bank details and tax payment receipts.
- Follow up with KRA via email or visit their offices for an update on your refund status.
- Boochy Cyber helps you apply for and track your tax refund efficiently.
6. Incorrect Assessment and Penalties
Issue: Some taxpayers receive tax assessments with incorrect penalties due to system errors or miscalculations. Solution:- Cross-check your tax returns and payment history.
- Lodge an objection through the iTax portal if you believe the assessment is incorrect.
- Seek assistance from a tax consultant or visit a KRA office to get clarification.
- Boochy Cyber provides support in lodging objections and resolving penalty issues.
7. Change of Email or Phone Number Linked to iTax
Issue: Taxpayers may lose access to their registered email or phone number, making it difficult to receive important KRA notifications. Solution:- Request an email or phone number change through iTax by submitting a scanned copy of your ID and a written request to KRA.
- Alternatively, visit a Huduma Centre for in-person assistance.
- Boochy Cyber can help facilitate this update for you.
8. Difficulty in Paying Taxes Online
Issue: Some taxpayers struggle with making tax payments through mobile banking or online platforms due to incorrect payment details or system failures. Solution:- Generate a payment slip from iTax before making any payment.
- Use authorized payment channels such as M-Pesa, bank transfers, or KRA agent banks.
- Double-check payment details before confirming the transaction.
- Boochy Cyber ensures smooth tax payments and assists in generating payment slips.
9. Problems with Withholding Tax and PAYE Deductions
Issue: Employers and businesses sometimes fail to remit withholding tax or PAYE deductions correctly, leading to penalties. Solution:- Ensure withholding tax and PAYE deductions are submitted on time through iTax.
- Keep proper records of all employee payments and deductions.
- If errors occur, amend the returns immediately to avoid further penalties.
- Boochy Cyber offers PAYE and withholding tax compliance services to businesses.
10. VAT Registration and Filing Issues
Issue: Businesses required to register for VAT may experience delays or system errors when trying to file their returns. Solution:- Ensure your business meets the VAT registration threshold (annual turnover of KES 5 million and above).
- File VAT returns monthly to avoid penalties.
- Seek help from a tax professional if the system generates incorrect VAT calculations.
- Boochy Cyber assists businesses in VAT registration and return filing to ensure compliance.
