How-To k.r.a, returns, tax Silvaro D'Silvas 21 April 2020 0 Comments

How To File K.R.A Tax Returns Online On iTax In 2020: An Easy Step By Step Guide

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Filing of K.R.A Tax Returns online has now become much easier. You can file your returns at the comfort of your home through the K.R.A portal called iTax. Moreover, filing of tax returns online helps reduce the spread of COVID-19.

By filing your returns earlier will help avoid the penalty of late filing, which is Ksh 20, 000 (USD 200) as stipulated in the Tax Procedures Act 2015, I’m pretty sure you don’t have to lose such amount of money to the government for something you can settle in just less than 10 minutes.

Remember, the deadline for submission of individual tax returns is June 30 every year. So, to help you on filing your tax returns we have compiled a step by step guide for you.

Filling Individual Tax Returns on iTax

Open your browser and type “iTax” on Google and or go to https://itax.kra.go.ke/KRA-Portal/
Enter your KRA PIN and click “Continue”. Enter your Password and “Security Stamp” (this is a simple mathematics sum eg, 54+3) and click “Log In”.
Go to Returns Menu and select ITR for Employment Income Only.
Enter Return Period, select “Yes” to the question “Do you have employment income?” and click “Next”
Under basic information, answer the questions asked appropriately and click “Next”
Go to Section F, details of employment income and confirm the name and PIN of Employer, Gross Pay and other allowances as per your P9 form.
Go to Sheet M, details of PAYE deducted, confirm Employer details, Taxable salary, chargeable pay, Tax payable on taxable salary and PAYE deducted. Details can be modified according to your P9 form
Go to Section Q and capture a payment if any, made prior to the filing of the return
Go to Section T, Tax Computation, Enter defined/pension contribution amount (as per your P9 actual contribution by employee), and personal relief. Click “Submit” and download the E-Return acknowledgement receipt.

File your returns now on https://itax.kra.go.ke/KRA-Portal/

Filing Nil Returns

Filing nil income tax returns is for people who are unemployed and earning no salary or fall below the taxable income in Kenya, which is Ksh 12, 000 (USD 120).

On your browser, type “iTax” on your search tab and click on the KRA iTax website https://itax.kra.go.ke/KRA-Portal/
Enter your KRA PIN and click Continue. Enter Password and Security Stamp and click Log In.
After logging in, scroll to the navigation bar and select “e-returns”, which will open a set of options. Underneath the options, scroll downwards and click on “file nil returns”
On the taxpayer PIN, insert your KRA PIN and on the “Tax Obligation” option insert “Income Tax – Resident Individual” then Submit.
Select Tax Obligation and next fill in the returns period from and returns period to will be populated obligation time frame then click “Submit” button.
If the process is successful, an acknowledgement receipt of e-returns will appear following a successful submission message.
Download the returns receipt and you are done.

File your returns now on https://itax.kra.go.ke/KRA-Portal/

Filing PAYE (Pay As You Earn) Returns

PAYE is a method of tax deduction from employees salaries or wages and it applies to all income from any office or employment.

Open your browser and type “iTax” on your search tab and or go to https://itax.kra.go.ke/KRA-Portal/
Enter your KRA PIN and click “Continue”. Enter Password and Security Stamp and click Log In.
Under the “Returns” section, click on file returns then select income Tax followed by the PAYE option
Click on the returns tab and then select the last item ITR for employment income
Fill in the sections marked with a red asterisk on Section A.
Then in Section T only two sections are necessary, section 1.1 and 2.5
Then move to Section F, and fill out total employment income.
Click on the Section M tab and check that taxable salary, tax payable on taxable salary and tax deducted salary tally the information reflected on the P9.
Next in Section Q, fill in the tax paid in advance if applicable. This is the last section of filling in the return. Once complimented click Submit.
If successful you will get a tab saying, “return slip generated”. You can click on the “download returns slip” to get your slip.

And that’s it! Don’t wait for time to run out and suffer the penalty. You can also help prevent the spread of COVID-19 by urging friends and family to file their returns online. Stay Safe!