The Tax Laws (Amendment) Bill, 2024, represents a significant legislative effort to enhance Kenya’s fiscal landscape. As the country continues to navigate economic challenges and pursue sustainable development, this bill introduces a comprehensive suite of measures designed to broaden the tax base, introduce new levies, adjust existing tax bands, and enhance compliance. By addressing the evolving needs of the economy and aligning with international standards, the bill seeks to ensure a fair and effective tax system that supports economic growth and stability.

This week, the Kenya Revenue Authority (KRA) finalized several key reforms under the Finance Act, which are set to impact businesses across the country. These changes are part of a larger initiative to enhance revenue collection, improve tax compliance, and create a more efficient tax system. By introducing measures such as an increased VAT rate, mandatory eTIMS onboarding, and simplified requirements for small-scale businesses, the KRA aims to foster a more supportive environment for businesses of all sizes, ensuring a more transparent and streamlined approach to tax administration.