Taxpayers yesterday spent long hours in queues outside various Kenya Revenue Authority centres hoping for one thing: an extension of the deadline to file their tax returns.
What was supposed to be a normal civic duty, turned out to be a frustrating occasion with some Kenyans torn between facing an irate employer and a desperate taxman keen on penalising taxpayers who default on filing tax returns.
A defaulter would be slapped with a Sh10,000 penalty, which is too punitive for thousands of poor Kenyans taking home a monthly pay of Sh20,000.
KRA’s digital system, iTax, was expected to close at midnight while centres were to close at 7pm. “Failure to submit a return on or before the due date or submitting a payment return without paying the tax due will result in a default penalty of Sh10, 000 or five per cent of the tax due, whichever is higher and additional interest of 2 per cent per month compounded,” KRA says on its website.
It was not clear whether an extension would be granted as KRA continued to struggle with a public whose understanding of the system is low.
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A statement released last evening said so far four million Kenyans have registered on iTax compared to the two million last year. KRA reported that on Wednesday it registered the highest number of Kenyans filing with over 128,000 returns in a single day. “As the deadline comes to a close today, the iTax support centers will continue to operate under normal working hours to assist those filing their returns late,” KRA said.
Many taxpayers said they had experienced challenges filing their returns on iTax. However, the taxman insisted that iTax was in better condition and that the challenges were distinct to every complainant.
But it was another moment when Kenyans exhibited their penchant to rush in the final hour. Most of them blamed their employers for giving them the forms too late.
At the iTax centre at Sameer Industrial Park, along Mombasa Road, we found Benson Mudelwa, an employee at one of the distilleries taking a rest after standing for too long.
Mr Mudelwa could not be at work because he had to file to avoid the harsh penalties of default. “I heard that there is Sh10,000 fine from the radio and from my friends,” he said.
Extend deadline
Another taxpayer, Lawrence Mawira, faced the same challenge. He had been there since 7am to file his returns since his online application was not successful. Mr Mawira said, “I tried accessing a cyber café but the network was down that is why I came here today. I am doing my filing this late because we were given these forms on Thursday.”
He was also worried that he would not make it to his place of work by 4:30pm because of the long queue.
A student, Nifa Maryanne, said she had only heard about the process the previous day from a friend. She was unable to file online. “I am waiting for an opportunity because I haven’t gotten a chance to file. So I am hoping and praying that they extend the deadline,” said Maryanne.
Some of those who filed their returns early, told The Standard that it took them about 10 minutes to complete the process.
However, KRA was challenged to upgrade its systems to withstand a surge in traffic that is common during the last days of filing tax returns. “I don’t know who should be penalised. Is it us or the KRA?” said Wycliffe Lubawa, who was not able to file online. He was afraid that he would not beat the deadline.
