KRA Introduces eTIMS Lite To Simplify Tax Invoicing System For Small Businesses

The Kenya Revenue Authority (KRA) Monday announced that all businesses, including those in the Informal Sector and Small Businesses, must electronically generate and transmit their invoices to KRA via the electronic Tax Invoice Management System (eTIMS). 

The eTIMS Lite platform enables non-VAT registered taxpayers to electronically generate and transmit their invoices to KRA through an easy-to-use interface.

The system is accessible via the eCitizen platforms, including a USSD option by dialing *222# and a web-based solution at ecitizen.kra.go.ke, the new system aims to alleviate the burden of compliance for small-scale entrepreneurs.

The taxman emphasized the importance of electronic invoicing for all businesses, regardless of size or sector.

By mandating the use of eTIMS, KRA seeks to improve transparency, reduce tax evasion, and enhance overall efficiency in tax collection processes.

“We are committed to supporting taxpayers and ensuring compliance with tax regulations.”

“Through initiatives like eTIMS Lite and our ongoing engagement with stakeholders, we aim to facilitate a smooth transition to electronic invoicing while providing tailored support to meet the diverse needs of businesses in Kenya,” a statement said.

In addition to the rollout of eTIMS Lite, KRA has invited taxpayers and representative bodies facing challenges with compliance to engage with the authority for further assistance.

One innovative solution highlighted by KRA is the concept of reverse invoicing, where sellers authorize buyers to issue invoices on their behalf, providing greater flexibility in invoice management.

In addition to the roll out of the simplified eTIMS solutions, KRA has also made concerted efforts towards publicity, awareness and tax literacy through continuous stakeholder engagements and taxpayer education targeted at players in the informal sector who include farmers, jua kali traders and artisans amongst others.

KRA has partnered with the informal sector representative groups and associations to facilitate direct support to taxpayers in these sectors to on board elIMS.

KRA wishes to invite taxpayers and representative bodies who may experience challenges adopting the existing solutions to reach out to further explore solutions tailored to cater for their specific needs. One such consideration is the reverse invoicing solution where a seller can/may give consent or authority to the buyer to issue invoices on their behalf.

For further information taxpayers should reach out to KRA through our contact centre on Tel: (0) 20 4 999 999, 0711 099 999 or Email: callcentre@kra.go.ke, www.kra.go.ke, the commissioner of domestic taxes said.