The Kenyan Finance Act No. 4 of 2023 amended the Kenyan Tax Procedures Act, 2015 by among others introducing Section 37E. The new Section 37E will become effective from tomorrow, 1st September 2023. 1. Where all principal tax due had been paid by 31st December 2022:Subsection 37E(1) states that, “Notwithstanding any other provision of this Act, the Commissioner shall
Per Section 2, Interpretations, of the Kenyan Income Tax Act, Cap 470, resident in relation to a body of persons means that: Let us focus on, management and control, KRA is now reviewing foreign incorporated companies managed and controlled by Kenyans in Kenya for assessment of corporation tax. Case in point is Naivas Kenya Limited. Naivas Kenya Limited is owned
Taxation in Kenya in Relation to Management and Control of Foreign Companies Read More »
Kenya Revenue Authority (KRA) has backdated the salary deductions and tax collection effective dates to 1st July 2023. This follows the Court of Appeal order of 28th July 2023 suspending the High Court order of 10th July 2023 that had stopped implementation of the Finance Act No. 4 of 2023. Some of the provisions affecting
PAYE, Housing Levy Deductions per Finance Act No. 4 of 2023 Read More »
Income Tax Act, Cap 470 The Finance Act, 2023 (herein after referred to the “Act”) has made the following changes to the Income Tax, Cap 470: Section 2 (Definitions Section) has been updated by expanding the definition of “winnings” – means the pay-out from a betting, gaming, lottery, prize competition, gambling or similar transaction under
Highlights on Kenyan Finance Act No. 4 of 2023 Read More »
1. INTRODUCTION The Trustee (Perpetual Succession) Amendment Act, 2021 (the TPSA), which was signed into law on 23rd December, 2021 made some amendments to the Trustees (Perpetual Succession) Act , Cap 164 in relation to registration of non-charitable trusts and family trusts in Kenya. Prior to the TPSA, there was no comprehensive law that provided
Family Trusts in Kenya Read More »
Introduction Cyber security is the protection of information and digital assets from being compromised, stolen or lost. Organization information and digital assets can be compromised, stolen or lost through an insider or an outsider. Cyber security is a challenge for small, medium and large enterprises. However, small and medium enterprises are at a bigger risk
The public appetite for audit reports has increased over the recent past. This has been fueled by the fall of giant companies as a result of financial accounting irregularities. We all remember Enron, Worldcom, Tyco International, Healthsouth, FreddieMac, and at home we have our Uchumi Supermarket, Chase Bank and Imperial Bank all of these companies
Client Confidentiality and Non-compliance with Laws & Regulations Read More »
INTRODUCTION Internal control (IC) system is defined by the Committee of Sponsoring Organizations of the Treadway Commission (COSO), as “the process designed, implemented, and maintained by those charged with governance, management, and other personnel to provide reasonable assurance about the achievement of an entity’s objectives with regard to reliability of financial reporting, effectiveness and efficiency
Key Principles in Evaluating and Improving Internal Control in SMEs Read More »
It is now a well-accepted fact that unless the Kenya Government and Kenyans do something that they have never done before, the next fraud will be mega and blatant than the last one. However, as we sit, watch news, read newspapers and ponder how the scandals happened, we never ask ourselves, what really went wrong
Sleeping Watchdogs Bark after the Heist Read More »
Procurement means the acquisition by purchase, rental, lease, hire purchase, license, tenancy, franchise, or by any other contractual means of any type of works, assets, services or goods including livestock or any combination and includes advisory, planning and processing in the supply chain system. On the other hand, “fraudulent practice” includes a misrepresentation of fact
Detecting and Preventing Fraud in Projects and Procurement Read More »
