Tax Reforms Boost KRA Collections to Record Ksh2.1 Trillion in FY2023

The Kenya Revenue Authority (KRA) collected a record Ksh2.1 trillion in the fiscal year ending June 2023, exceeding target by 8.5%, thanks to digital enforcement and expanded taxpayer registration. Commissioner-General Humphrey Wattanga cited the success of the Electronic Tax Register (ETR), iTax upgrades, and real-time monitoring of high-net-worth individuals. Corporate tax rose by 14%, while VAT collections grew by 11% due to eTIMS compliance. The informal sector contributed Ksh180 billion via mobile-based presumptive taxes. Despite public concerns over aggressive audits, KRA insists 95% of assessments were resolved amicably. The 2024/25 budget targets Ksh2.4 trillion, with new levies on digital services and luxury imports to close the fiscal gap.