The Kenya Revenue Authority (KRA) has launched an onslaught on tax-evading landlords through its latest mapping technology and accessing bank records using utilities such as Kenya Power.
Business Daily reported that KRA is implementing a block management system that will be using a geographic information system (GIS) to map outbuildings.
Speaking in an interview, KRA Commissioner for Legal Services and Board Co-ordination Paul Matuku said GIS will detect new buildings coming up, identify tax-compliant landlords and those who evade paying taxes.
"We are investing in block management and geo-mapping systems to map out all these urban areas like Nairobi and Mombasa and get to know where these landlords are and who is paying what tax and who is not paying what tax
"It is work in progress in that area (rental income tax) and we will bring all of them (landlords) under tax net," he said.
Landlords with annual rental income of between KSh288,000 (KSh24,000 per month) and KSh15 million (KSh1.25 million per month) are required to file a monthly tax return declaring the gross earnings rent from which tax payable is computed at the rate of 10 percent.
Section 6A of Income Tax Act further requires property owners with rental income of less than Sh24,000 a month or more than Sh1.25 million to declare such earnings together with other revenue sources when filing annual income tax returns.
In November 2021, KRA announced a crackdown on Kenyans who display fabulous lifestyle on social media.
In a past interview, KRA Commissioner General Githii Mburu said they had assigned officers to monitor Kenyans displaying lavish lifestyle on social media.
"In the social media, we have some people posting some nice things. You would see some posting nice houses, cars, taking their families to nice places and so on. Here, we are not sleeping, when we see those, we see taxes
"We have our officers looking, they have gadgets. The key in very quickly (the number plate) to check. We are working exceptionally hard," Mburu disclosed.
