Tax Archives - KNCCI https://www.kenyachamber.or.ke/tag/tax/ The Kenya National Chamber of Commerce and Industry Thu, 16 Oct 2025 07:32:53 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.4 https://www.kenyachamber.or.ke/wp-content/uploads/2019/10/cropped-ogimage-default-32x32.jpg Tax Archives - KNCCI https://www.kenyachamber.or.ke/tag/tax/ 32 32 KNCCI Strengthens Partnership with KRA to Simplify Tax Compliance for Businesses https://www.kenyachamber.or.ke/2025/10/16/kncci-strengthens-partnership-with-kra-to-simplify-tax-compliance-for-businesses/ https://www.kenyachamber.or.ke/2025/10/16/kncci-strengthens-partnership-with-kra-to-simplify-tax-compliance-for-businesses/#respond Thu, 16 Oct 2025 07:27:32 +0000 https://www.kenyachamber.or.ke/?p=7609 The Kenya National Chamber of Commerce and Industry (KNCCI) and the Kenya Revenue Authority (KRA) have reaffirmed their shared commitment to making tax compliance simpler, more transparent, and accessible for all categories of businesses through the KRA Simplified Solutions engagement held at the Weston Hotel, Nairobi. Speaking during the event, Mr. Vishal Khagram, KNCCI National [...]

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The Kenya National Chamber of Commerce and Industry (KNCCI) and the Kenya Revenue Authority (KRA) have reaffirmed their shared commitment to making tax compliance simpler, more transparent, and accessible for all categories of businesses through the KRA Simplified Solutions engagement held at the Weston Hotel, Nairobi.

Speaking during the event, Mr. Vishal Khagram, KNCCI National Director, applauded KRA’s ongoing reforms that aim to enhance taxpayer experience and promote voluntary compliance. He noted that a fair and efficient tax system is essential to building investor confidence, sustaining infrastructure, and fostering a thriving economic environment.

“At KNCCI, we believe that tax compliance is more than a legal obligation—it is the foundation for sustainable economic growth,” said Mr. Khagram. “However, we also recognize the challenges many MSMEs face in navigating tax systems. That is why engagements like this are crucial in helping businesses understand, adapt, and comply with confidence.”

He commended KRA for introducing Simplified Solutions, a technology-driven initiative that aligns with the Chamber’s goal of easing the cost of doing business and promoting formalization. Mr. Khagram further encouraged KRA to continue conducting similar sensitization forums across the country in collaboration with KNCCI’s county chapters to reach more entrepreneurs at the grassroots level.

“By working together, we can ensure that more businesses benefit from accurate information, digital literacy, and direct interaction with KRA officers,” he added. “This strengthens a culture of voluntary compliance and supports the growth of a more formal, resilient business sector.”

In her remarks, Ms. Patience Njau, Deputy Commissioner, Taxpayer Experience at KRA, commended KNCCI for being an instrumental private-sector partner in advancing taxpayer education and engagement.

“KNCCI has played a vital role in bringing on board businesses and creating the link for KRA both at the national and county levels,” Ms. Njau said. “Our collaboration continues to enhance understanding between the tax authority and entrepreneurs, ensuring that no business is left behind as we simplify processes and embrace .”

The session brought together KRA officials and KNCCI members to deliberate on how simplified tax solutions can reduce administrative burdens, increase compliance, and improve the ease of doing business across Kenya.

 

KNCCI reiterated its commitment to serving as the bridge between government and the private sector by facilitating constructive dialogue, supporting policy implementation, and advocating for a predictable, transparent tax environment that fosters business growth and competitiveness.

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KNCCI President Dr. Erick Rutto Visits M-KOPA to Support Local Manufacturing and Innovation https://www.kenyachamber.or.ke/2025/07/23/kncci-president-dr-erick-rutto-visits-m-kopa-to-support-local-manufacturing-and-innovation/ https://www.kenyachamber.or.ke/2025/07/23/kncci-president-dr-erick-rutto-visits-m-kopa-to-support-local-manufacturing-and-innovation/#respond Wed, 23 Jul 2025 13:53:24 +0000 https://www.kenyachamber.or.ke/?p=7255 In a continued effort to engage and support its members across diverse sectors, KNCCI President Dr. Erick Rutto, accompanied by National Director Cynthia Nyawira, today visited M-KOPA, a KNCCI Platinum Member and a leading fintech company in the emerging markets space. The visit is part of a broader initiative by the Chamber leadership to familiarize [...]

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In a continued effort to engage and support its members across diverse sectors, KNCCI President Dr. Erick Rutto, accompanied by National Director Cynthia Nyawira, today visited M-KOPA, a KNCCI Platinum Member and a leading fintech company in the emerging markets space.

The visit is part of a broader initiative by the Chamber leadership to familiarize themselves with the operations, innovations, and challenges facing KNCCI members across the country.

During the visit to M-KOPA’s state-of-the-art facility in Nairobi’s Industrial Area, Dr. Rutto was impressed by the large-scale assembly of smartphones and the significant employment opportunities the company has created. The facility currently employs over 450 staff and has demonstrated strong local manufacturing capabilities, assembling up to 100,000 smartphones per month.

M-KOPA has so far surpassed 2.5 million assembled smartphones and is now working towards doubling its output to achieve 2 million devices annually. This expansion aims to boost job creation and meet the growing demand for affordable digital access solutions across the region.

Dr. Rutto and the KNCCI team also learned of the company’s ongoing investments to expand production capacity and enhance its service offerings. M-KOPA’s innovative approach includes the refurbishment and upgrading of phones, health insurance services for customers, and device protection features—all of which have contributed to increased sales and customer satisfaction over the past year.

Speaking during the visit, M-KOPA General Manager Martin Kingori highlighted the company’s journey and shared both the achievements and the hurdles they face. Chief among the challenges is the unpredictable tax and policy environment in Kenya, which makes long-term planning and investment difficult for fintech and manufacturing firms despite a promising market landscape.

In response, Dr. Rutto reaffirmed KNCCI’s commitment to policy advocacy and pledged to champion for a more predictable and supportive business environment for companies like M-KOPA. He emphasized that promoting local manufacturing is key to driving economic growth and employment creation.

“M-KOPA’s impact in Kenya is a testament to the potential of home-grown innovation and industrial capability. KNCCI will continue to advocate for better policies and an enabling business environment that allows such enterprises to thrive,” Dr. Rutto stated.

The visit underscores KNCCI’s mission to strengthen member engagement, support enterprise growth, and facilitate dialogue between the private sector and policymakers to unlock the full potential of Kenya’s economy.

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KNCCI Hosts IMF Mission Team for Governance Diagnostic Assessment https://www.kenyachamber.or.ke/2025/06/18/kncci-hosts-imf-mission-team-for-governance-diagnostic-assessment/ https://www.kenyachamber.or.ke/2025/06/18/kncci-hosts-imf-mission-team-for-governance-diagnostic-assessment/#respond Wed, 18 Jun 2025 12:45:25 +0000 https://www.kenyachamber.or.ke/?p=7034 The Kenya National Chamber of Commerce and Industry (KNCCI) today hosted a high-level delegation from the International Monetary Fund (IMF) as part of an ongoing Governance Diagnostic Assessment being conducted in collaboration with Kenyan authorities. The meeting, held on the afternoon of Wednesday, June 18, 2025, brought together key stakeholders to discuss Kenya’s governance landscape [...]

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The Kenya National Chamber of Commerce and Industry (KNCCI) today hosted a high-level delegation from the International Monetary Fund (IMF) as part of an ongoing Governance Diagnostic Assessment being conducted in collaboration with Kenyan authorities.

The meeting, held on the afternoon of Wednesday, June 18, 2025, brought together key stakeholders to discuss Kenya’s governance landscape and investment climate, with a specific focus on tax policy and the Kenya Revenue Authority (KRA). The session was chaired by Mr. Wycliffe Kibisu, Chairman of the KNCCI Tax Policy and Regulatory Committee.

Key Areas of Discussion

The dialogue centered on three major themes:

  • Stakeholder Engagement in Tax Policy Development
  • Perceived Vulnerabilities to Corruption within KRA
  • Opportunities for Reform and the Private Sector’s Role in Shaping Effective Tax Policy

The IMF team sought perspectives from the private sector on current systemic challenges and areas of potential improvement in Kenya’s tax environment. KNCCI provided detailed insights and actionable recommendations based on ongoing engagement with businesses across the country.

KNCCI Recommendations

KNCCI submitted a set of proposals to help strengthen Kenya’s tax governance structure and increase trust in the system:

  • Data-Driven Policy Formulation: The Chamber called for a more inclusive and evidence-based approach to tax policy, anchored on a collaborative national tax dialogue platform. This would feature quarterly consultative meetings bringing together KNCCI, KRA, the National Treasury, and the IMF to foster ongoing dialogue and mutual accountability.

  • Anti-Corruption Measures at KRA:
    To address concerns around integrity and efficiency, KNCCI proposed:

    • The introduction of real-time audit tracking tools

    • The publication of refund timelines to enhance transparency

    • The establishment of an independent Tax Ombudsman, with KNCCI playing a key supportive role

  • Support for MSMEs:
    Emphasizing the importance of Micro, Small and Medium Enterprises (MSMEs) in the economy, KNCCI recommended:

    • The piloting of dynamic tax models using real-time business data

    • The rollout of tax education campaigns and training programs to improve compliance and build the capacity of small businesses

Forward Outlook

KNCCI reaffirmed its commitment to fostering a transparent, fair, and predictable tax environment that supports investment and enterprise growth. The Chamber expressed appreciation for the IMF’s engagement and pledged continued support in shaping reforms that advance Kenya’s economic governance and competitiveness.

The IMF’s ongoing Governance Diagnostic Assessment is expected to inform future policy reforms aimed at strengthening accountability, enhancing service delivery, and improving investor confidence in Kenya.

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KNCCI Praises Zero Tariffs on African Products with 100% Tax Content to China https://www.kenyachamber.or.ke/2025/06/16/7010/ https://www.kenyachamber.or.ke/2025/06/16/7010/#respond Mon, 16 Jun 2025 10:40:38 +0000 https://www.kenyachamber.or.ke/?p=7010 Chamber President Dr Erick Rutto has lauded the announcement by Foreign Ministry Spokesperson Lin Jian, on 11th June 2025, citing a letter from Chinese President Xi that China will implement the measure of zero tariffs on products with 100 percent tax content for 53 countries with diplomatic ties in Africa. Dr Rutto said this will [...]

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Chamber President Dr Erick Rutto has lauded the announcement by Foreign Ministry Spokesperson Lin Jian, on 11th June 2025, citing a letter from Chinese President Xi that China will implement the measure of zero tariffs on products with 100 percent tax content for 53 countries with diplomatic ties in Africa.

Dr Rutto said this will increase the variety of goods exported to China and the KNCCI Changsha office will work with kenyan businesses to increase the volume of exports.

“We would like to have a very wide variety of goods we can send to China. We ar very happy that FOCAC and the Foreign Affairs minister has announced that all African access that have access to this market quota free and duty free and this is going to be a very big opportunity for Kenya and African businesses,” said Dr Rutto.

The announcement made ministerial meeting of the focal points for the implementation of the outcomes of the China-Africa Cooperation Forum was held in Changsha, Hunan the Foreign Ministry says will provide more convenience for African least developed countries to export to China

“We should maintain exchanges and mutual learning and become a catalyst for the diversity of world civilizations,” Foreign Minister Wang Yi said.

The two sides issued the Changsha Declaration to safeguard global southern solidarity and cooperation.

The release of the list of implementation outcomes of the Beijing Summit of the Forum on China-Africa Cooperation and the concept paper for the “China-Africa Year of People-to-People Exchange” in 2026 demonstrates the implementation of the outcomes in cooperation between China and Africa at the Beijing summit and injects new impetus into deepening political mutual trust, advancing mutually beneficial cooperation and promoting people-to-people ties.

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KNCCI BUSINESS CONTINUITY AND SUSTAINABILITY- COUNTY FOCUS WEBINAR DISCUSSION https://www.kenyachamber.or.ke/2020/04/28/kncci-business-continuity-and-sustainability-county-focus-webinar-discussion/ https://www.kenyachamber.or.ke/2020/04/28/kncci-business-continuity-and-sustainability-county-focus-webinar-discussion/#respond Tue, 28 Apr 2020 08:46:39 +0000 https://www.kenyachamber.or.ke/?p=1900 Introduction To ensure business continuity, having an emergency plan is essential. In the current situation, it is vital to react as fast as possible in order to mitigate against impact and other risks and to prepare organizations for the further escalation of the COVID-19 pandemic and the scenarios that may unfold. This disruptive business environment [...]

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Introduction

To ensure business continuity, having an emergency plan is essential. In the current situation, it is vital to react as fast as possible in order to mitigate against impact and other risks and to prepare organizations for the further escalation of the COVID-19 pandemic and the scenarios that may unfold.

This disruptive business environment emphasizes the need for businesses to put in place robust business continuity plans (BCPs), which anticipate a broad range of events that could create severe disruption for the business.

The Kenya National Chamber of Commerce and Industry (KNCCI) has been in the forefront in proposing  both short and long term measures to support the  Small and Medium Enterprises (SMEs) particularly at the County level to continue with their business activities with minimal interruptions and ensure sustainability.  To lessen the risk of business discontinuity, KNCCI lead by its President Mr. Richard Ngatia today held a virtual discussion with its selected County chairmen (Mombasa, Narok, Nyandarua and Bungoma) and in absentia, H. E Dr. Wycliffe Wangamati; Governor Bungoma County to discuss:

  • Intervention measures and mechanism adopted to ensure Business Continuity
  • Policies effected to enhance Business Sustainability
  • Market intervention and protection of the value chain aggregators
  • Cross boarder challenges
  • Rent and Labour Protection measures
  1. Intervention Measures and Mechanisms adopted by the Counties to ensure Business Continuity
  • Installation of sensitization and fumigated booths for Mombasa – Likoni Ferry users.
  • Sensitization of business communities on sanitization, social distancing, masks wearing and hand washing.
  • Fumigation of open air markets
  • Digging of boreholes to ensure free and efficient water to the communities.
  1. Policies effected to enhance business sustainability

The county chapters have each in their own capacities collaborated with County governments to:

  • Waiver fee on all taxes for the hotel Industry and transportation (Mombasa)
  • Implementation of food relief programs; Mombasa chapter in collaboration with Mombasa County Government has launched a Household and nutrition program to help provide food of nutritional value to vulnerable groups affected during this pandemic. On the other hand, Bungoma chapter in collaboration with the Kenya Red Cross Society of Kenya and the County Government of Bungoma has a fundraising kitty (Donating in kind) to help distribute food to its community.
  • Extension of single business permits and licenses to small business traders and public service vehicles providing essential goods and services.
  1. Cross Boarder Issues
  • Contributing to this, KNCCI Mombasa chapter chair Mr. Mustapha stated that the chapter has collaborated with the County Government to streamline the movement of essential goods and services in and out of Mombasa. The County has also ensured that all medical equipment and PPE s are given first priority at the port of Mombasa when it comes to clearance.
  • In Bungoma, the chapter through the County Government has ensured that the Uganda boarder remains operational to allow provision and constant flow of essential goods and services.
  1. Rent and Labour Protection Measures

On the issue on rent to pay or not, the County chapter chairmen suggested that for this to happen:

  • The national government should waiver all taxes for landlords for at least size months or a year.
  • Banks to temporarily stop charging interests and also delay principal charges on all loans owed by the landlords.
  • Actions to Support SMEs
  • Encourage SMEs to adopt e-commerce
  • Banks and other online lenders to roll over loans owned by SMEs to June 2020 to allow SMEs continue doing business.
  1. KNCCI Women in Business Contribution

In her remarks, Women in Business chairperson Ms. Nato stressed that;

  • Women be appointed to the response committee at each county.
  • Women be involved in the identification process of vulnerable groups that needs support during this pandemic.
  • Nato said that the WIB committee has come up with “Support a tailor to support a retailer” initiative to support the fashion industry and retailers by producing masks that are in return distributed to small business owners.

H.E Governor Dr. Wycliffe Wangamati: County Government of Bungoma statement National Economic and Business Response

  1. Need to cushion employees on possibility of loss of income.

Initiative

  1. Increase Disposable Income to Kenyans. Actions are as below:
  2. 100% Tax relief for persons earning gross monthly income of up to Ksh. 24,000
  3. Reduction of P.A.Y.E from 30% to 25%
  4. Reduction of Corporation tax from 30% to 25%
  5. Reduction of Turnover Tax from 3% to 1% for all MSMEs.
  6. Need to cushion and support the elderly, orphans and other vulnerable members of society.

The government to give an additional 10 billion to the elderly of which Ksh. 8.5 have been disbursed.

  1. Need to increase access to credit for business: the government has temporarily suspended listing with Credit Reference Bureau.
  2. Resource Mobilization: Need to facilitate the functioning of the National Response to COVID-19 committees. All coordinated National Response Committees to provide their resource requirements. This has been done by successfully establishing a COVID-19 response fund and so far funds collected amount to Ksh. 1 billion.

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