Filing tax returns is a legal obligation for all registered taxpayers in Kenya. However, if you have no income to declare, you are still required to file NIL returns to comply with the Kenya Revenue Authority (KRA) regulations. Failure to do so can result in penalties and unnecessary complications. In this guide, we will take you through the process of filing NIL returns step by step and show you how Boochy Cyber can assist in making the process seamless.
Who Should File NIL Returns?
You should file NIL returns if:- You have a KRA PIN but no taxable income for the financial year.
- You are a student or unemployed but have a registered KRA PIN.
- Your business or company is registered but has not generated any revenue.
- You are a freelancer or entrepreneur yet to start earning taxable income.
Step-by-Step Guide to Filing NIL Returns in Kenya
Step 1: Access the iTax Portal
- Open your preferred browser and go to the KRA website.
- Click on the Login button and enter your KRA PIN.
- Input your password and complete the security stamp (solve the arithmetic question).
- Click Login to access your iTax account.
Step 2: Navigate to the Returns Section
- On your iTax dashboard, click on ‘Returns’.
- Select ‘File Nil Return’ from the dropdown menu.
Step 3: Select the Tax Obligation
- Choose ‘Self-Assessment Tax (ITR for Individuals)’ if you are filing as an individual.
- If you are filing for a company or business, select ‘Income Tax – Company’.
- Click Next to proceed.
Step 4: Confirm Your Details
- The system will prompt you to confirm your KRA PIN and taxpayer details.
- Ensure everything is correct, then proceed by clicking ‘Submit’.
Step 5: Receive an Acknowledgment Receipt
- Upon successful submission, a confirmation message will appear on your screen.
- Download and print the e-return acknowledgment receipt for your records.
- You will also receive a confirmation email from KRA.
Why File NIL Returns?
Filing NIL returns is crucial because:- It helps you avoid penalties from KRA, which can amount to Ksh 2,000 for individuals and Ksh 20,000 for businesses.
- It ensures your KRA compliance status remains active, avoiding future complications.
- It is a legal requirement under Kenya’s tax laws.
Let Boochy Cyber Help You!
Filing NIL returns may seem simple, but mistakes can lead to compliance issues. At Boochy Cyber, we specialize in tax services, ensuring that your returns are filed correctly and on time. Whether you are an individual, freelancer, student, or business owner, we make the process stress-free for you.Why Choose Boochy Cyber?
- Fast and Reliable Services – We ensure your returns are filed promptly.
- Affordable Rates – No hidden fees, just efficient tax filing.
- Expert Support – Our team of tax professionals is ready to assist.
