President Uhuru Kenyatta has commended taxpayers for playing a key role in supporting the Government’s development agenda.
President Kenyatta observed that over 90 per cent of the country’s budget is financed through domestic resources, saying the tax collection has grown five-fold from about Sh200 million in 2002 to overSh1 trillion in 2016.
“And I am proud to note that as a country we have accepted the critical importance of domestic resource mobilization as the key driver of our development agenda,” President Kenyatta said as quoted by PSCU.
The President was speaking Friday when he presided over this year’s KRA Taxpayers’ Day and award ceremony at Kenyatta International Conference Centre (KICC).
He said the taxes Kenyans pay have enabled his administration to implement devolution and invest in infrastructure, security, health, education services, affordable energy and other key development projects.
“Indeed, historic landmark projects like the standard gauge railway which is on track for a June 2017 completion, the last mile connectivity program which has connected over 12 million citizens to power, and the digital literacy program, are only made possible by law-abiding, taxpaying citizens,” President Kenyatta said.
Saying he was encouraged by the trajectory of domestic revenue collection, President Kenyatta affirmed his administration’s commitment to reforming tax regulations in the country.
The Head of State said the Government has already made good progress in tax reforms through implementation of the iTax electronic platform, which has won awards for excellence at global forums.
“Since 2013, we have enacted new versions of four key pieces of tax legislation including the VAT Act, Excise Duty Act, Tax Procedures Act and the Tax Appeals Tribunal Act, and we are now in the process of reviewing the Income Tax Act which we hope to conclude before December 2017,” he said.
The President said the automation of tax administration, the legislative and the regulatory reforms have improved public service delivery and boosted Kenya’s global ranking in doing business.
The President said: “In fact, in the latest survey released on Wednesday this week, Kenya’s Doing Business Index improved by 21 places to position 92 making Kenya the third most improved country globally and the top most reformed country on the continent.”
While commending KRA for their good work, President Kenyatta challenged the revenue collector to improve tax collection to transform the lives of people and ensure Kenya is truly a sovereign State.
Other speakers included National Treasury Cabinet Secretary Henry Rotich and KRA Commissioner-General John Njiraini.