Tax Alerts

We provide a wealth of publications by PwC Kenya providing informed commentary on current developments in the tax arena.

Through analysis and comment on new law and judicial decisions of interest, they assist business executives to identify developments and trends in tax law and revenue practice that might impact their business.

In this alert:

Tax Alert: The Tax Procedures (Electronic Tax Invoice) Regulations, 2024

The Tax Procedures (Electronic Tax Invoice) Regulations, 2024 has been issued to replace the old regulations.

One of the key Regulations is the mandate that the user of the electronic tax invoicing or receipting system should maintain records of stock in the system including all local purchases and imports unless exempted by the Commissioner, such as the persons in the service sector among others. The Regulations also maintain that in the event of closure of business, the user of the system should notify the Commissioner in writing (within 30 days before closure of business) indicating records of current stock and account for all taxes under the applicable tax laws.

The Regulations have also expanded the list of transactions excluded from electronic tax invoicing requirements to include other items not listed in the exclusions under Section 23A of the Tax Procedures Act. Among these transactions are fees charged by financial institutions and expenses subject to withholding tax that is a final tax.

Additionally, the Regulations also provide room for the Commissioner to exempt a person from the requirements to issue electronic tax invoice through a Gazette notice.

For the purposes of complying with these regulations, PwC helps clients in validation of compliant tax invoices, eTIMS registration and eTIMS software integration services.