Hello and welcome to the Money News Roundup Newsletter. Today, we cover KRA’s advisory on the payment of pending taxes and the deadline extension for filing tax returns. We also detail the latest court ruling on KRA’s tax formula for vehicles.
KRA’s Advisory to Kenyans With Pending Taxes
KRA has urged Kenyans with pending taxes to make payments through internet banking amid a last-minute rush in the filing of tax returns.
According to the taxman, the payments can be made through the banks or the Central Bank of Kenya.
The list of banks and the details of the account numbers can be accessed here.
"KRA informs taxpayers that all tax payments due today (yesterday), 30th June, 2025, can now be made directly through Internet Banking to the Central Bank of Kenya or any other relevant Commercial Bank.
"The following are the requirements: KRA pin, tax head (VAT, PAYE), and the tax period - financial year," read the advisory in part
Meanwhile, KRA has extended the deadline for Kenyans to file their tax returns for 2024 by 24 hours.
As explained by the taxman, Kenyans with KRA PINs will be required to file their returns by midnight of July 1, 2025.
Therefore, those who submit their returns after the midnight deadline will attract penalties. KRA imposes a fine of five per cent of the tax due or Ksh2,000, whichever is higher, for late filing.
''We have opened the service lane! 24-hour extension up to tomorrow, July 1, 2025, midnight to file and pay your returns!'' read the statement in part.
Court Pauses KRA’s New Tax Formula for Vehicles
As reported in the Business Daily, the High Court has temporarily suspended the implementation of the updated Current Retail Selling Price (CRSP) list.
The list was to take effect on Tuesday, July 1, 2025. However, Justice Joe Omido on Monday ordered that the implementation of the new list be paused until the matter is heard and determined.
Petitioners in the case had argued that the taxman failed to conduct sufficient public participation before drafting the new list that will see the prices of some vehicles increase significantly.
"The impugned CRSP was hurriedly assembled and is pervaded with fundamental errors and omissions that impugn its certainty as a tax base. For instance, it omits and/or fails to provide for several vehicle models that are imported into the country by car dealers and individual customers," read the petition in part.
"In other instances, it erroneously matches car models with non-existent features, including wrong fuel types, chassis numbers, and attaches different values to the same car model. Some of these vehicles are already on the high seas en route to the country,” reads court papers.
Court Rules on Inheritance Rights of Children Born Out of Wedlock to Muslim Fathers
As reported by Capital FM, the Supreme Court has upheld that children born out of wedlock to Muslim fathers have a right to inherit property.
In a unanimous decision, the Supreme Court upheld a 2023 Court of Appeal ruling that found it discriminatory to deny children inheritance rights based solely on the marital status of their parents.
“In our view, denying children born out of wedlock by the same parents the same benefits accorded to children born within wedlock, on the basis of the alleged ‘sins’ of their parents, is unreasonable and unjustifiable,” the judges ruled.
Govt Suspends Public Tenders
The Public Procurement Regulatory Authority (PPRA) has ordered all government institutions to immediately suspend the procurement processes that are not under the new Electronic Government Procurement System (e-GPS).
As reported by the Star, all government procurement for the 2025/2026 Financial Year is expected to be undertaken through the new system.
PPRA Director General Patrick Wanjuki stated that the initiative is part of the government’s plan to fully transition to a digital procurement system by July 1, 2025.
The new plan is expected to enhance transparency and efficiency in public procurement.
“Procuring entities are to cease initiation of procurement processes for Financial Year 2025/2026 through framework agreements and refrain from issuing any awards or entering into contracts until after the rollout of the e-GPS,” Wanjiku directed.
Kenyans Pay More for 23 Household Items - KNBS Report
A report by Kenyans.co.ke, Kenyans are currently paying more for 23 household commodities.
In its monthly inflation report, the Kenya National Bureau of Statistics (KNBS) listed carrots, cabbages, and sugar, which increased by 11.1 per cent, 10.8 per cent, and 5.5 per cent, respectively, in the last 30 days.
Other items that also increased in prices were refrigerators (0.8 per cent), tomatoes (1.2 per cent), bar soap (0.5 per cent), kale (1.0 per cent), shoe polish (0.6 per cent), sifted maize flour (2.1 per cent), buckets and basins (0.9 per cent), spinach (2.3 per cent), beef with bones (0.7 per cent), maize grain (2.8 per cent).
“In June 2025, prices in the transport sector showed mixed movements. Petrol recorded the highest increase at 1.6 per cent, followed by a 1.2 per cent rise in the cost of personal vehicles and a 1 per cent increase in country bus fares,” read the report in part.
“City bus and regular matatu fares both had slight upticks of 0.2 per cent. In contrast, the price of diesel dropped by 1.1 per cent, easing some pressure on fuel-related transport costs.”
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