KRA PIN Deregistration: The Kenya Revenue Authority has delisted up to 66,269 personal identification numbers of individuals and businesses that have been defaulting on their tax obligations.
The taxman says that the affected accounts have been constantly filing nil returns or failing to file their monthly VAT returns. “The VAT obligations of 66,269 taxpayers will be deregistered or cancelled effective June 10, 2021,” said Rispah Simiyu, the KRA’s commissioner in charge of domestic taxes.
In May this year, KRA had announced that it would start to deregister PINs of tax obligation defaulters.
In an advertisement that was carried by local dailies, KRA had issued a 30 day notice to all persons eligible to remit their Value Added Taxes and Income Taxes. Those who fail to meet this deadline would have their personal identification numbers deregistered.
The deregistration would effectively erase their personal identification data from the national registry, which will make it nearly impossible to transact or do business in Kenya. A KRA PIN registration is mandatory in Kenya when doing business or when transacting on properties such as land and vehicle.
“Kenya Revenue Authority (KRA) would like to notify the public that taxpayers who are registered under the Value Added Tax (VAT) Act, 2013, and the Income Tax Act, CAP 470 Laws of Kenya are required to file their returns under the respective laws. Failure to file tax returns, unless the cause is shown to the contrary, the commissioner of the Domestic Taxes shall have their Personal Identification Numbers (PINs) deregistered and cancelled from the KRA system at the expiration of thirty (30) days from the date of this notice,” KRA said in the notice.
The taxman had also asked the affected individuals to take advantage of the Voluntary Tax Disclosure program and negotiate their payment. “Taxpayers are also encouraged to take advantage of the Voluntary Tax Disclosure Program and apply, disclose and pay their outstanding liability with a relief on interest and penalties,” KRA said.