The Kenya Revenue Authority invokes Sh2000 or five percent of the tax due as a penalty for late filing. Individual income tax should be submitted by June 30 of the following year. This article will take you through steps on how to apply for a KRA waiver of the penalties on your iTax account.
To check if you have pending penalties or how much your penalties are, log into your iTax account, go to debt and enforcement and click on request for Waiver of Penalties and Interests; under details of waiver, click on tax ‘Income Tax Resident Individual’ and then select penalty as the tax type.
To apply for your waiver, you will need your KRA Pin, your iTax password and a KRA waiver letter. There is no specific format for writing the waiver letter. Simply write a formal letter explaining your reasons for not filing your income tax on time. If you have supporting documents, you can attach them to the letter and address it to the station manager.
How to apply:
- Go to the KRA online portal on https://itax.kra.go.ke/KRA-Portal/
- Enter your KRA PIN and iTax password to log you in. If you have forgotten the password, click on “forgot password” and follow the prompts to reset your password.
- You can then log in to the KRA web portal
- Once you are on the home page, click on “debt and enforcements” on the top bar menu.
- Click on the displayed drop down menu prompting you to “Request for Waiver of Penalties and Interests.
- The waiver form will be displayed as below
- The applicant information will be populated automatically, so all you need to do is upload the letter and fill in the details of the waiver.
- Once you select the tax type, the KRA penalties will also auto-populate on the form.
- Confirm that you have uploaded your waiver letter and then click “submit”
- After submitting your waiver application, you will need to download the acknowledgement receipt from KRA.
- Click on the Download link to download the KRA Waiver receipt. This is the confirmation that you have applied for KRA Waiver on Penalties in your iTax account. You can use the Waiver receipt to track the status of your KRA Waiver Application.
That is how to apply for a KRA Waiver. It’s quite simple. Note that the KRA Waiver process is structured and your application will be reviewed before validation. A KRA officer will either approve or reject the waiver request depending on the reasons submitted. The process takes 90 days.