The Kenya Revenue Authority (KRA) says Kenyans in the diaspora must declare the investments they have made in the host countries when they file their tax returns.
Speaking on Citizen TV’s Citizen Extra program on Monday, Kenya Revenue Authority (KRA) Chief Manager for Domestic Taxes Department Judith Njagi urged Kenyans living and working abroad to ensure they remit their returns ahead of the June 30th deadline to avoid penalties.
“Kenyans in the diaspora must file their returns, they have to declare the investments they have done there,” she said.
“In cases where there is double taxation for those who are in the diaspora, they will be given a refund of the taxes paid there,” Ms Njagi assured.
The law requires any Kenyan who has a Personal Identification Number (PIN), whether based in the country or abroad, to file returns annually, including a nil return.
Failure to file returns before the June 30th deadline attracts a fine of Sh20, 000 under the Tax Procedures Act number 29 of 2015.
Last year, KRA said earning income abroad doesn’t exempt one from declaring it since it may be deemed to be accrued from Kenya.
The agency also noted that assets or property held overseas by Kenyan citizens must be declared, if proceeds derived from the assets or property are intended to be repatriated to Kenya.
“If you are a tax resident in Kenya earning income abroad that is deemed to be accrued or derived from Kenya, then such income should be declared for amnesty if you had not declared it before,” KRA said
If I was watu wa diaspora, ill stop sending money for 2 months. Just 2 months to strife that 198b a year foreign exchange they earn hadi watu washike adabu.
Some other countries (like Ivory coast)give their diasporas tax breaks to encourage them to create employment opportunity, wengine hapa are driving them away. Kenya ilirogwa I swear. .
These diaspora people do not do the Kenya government such a biiiig favour by sending money here. They send it primarily to their families, so hizi vitisho baridi hazisaidii, though I agree we should do more to encourage investment of this remittance into the economy.
Not confirmed but kama umetoka diaspora utafinywa makende the moment you’re leaving. Kama hukulipa loan ya HELB, or other government remittances utaingia shida. Kisa ni biometric information and interconnectivity of departments.
So if you have a pin with KRA it is linked to your travel document. Kama uko diaspora you will be expected to file and the way they catch you is when you come back to the country.
Sending money from abroad earns the country foreign exchange, correct me if I’m wrong.
Who do you think is building and buying plots and developing? A big percentage is from people abroad.