The Kenya Revenue Authority (KRA) is tightening checks on taxpayers who file nil tax returns, with a new focus on mobile money transactions.
The tax agency says it has noticed that some people declare zero income but still have active financial activity, especially on mobile money platforms.
Speaking on Wednesday, KRA Deputy Commissioner Maurice Oray said the authority will now use available data to cross-check what taxpayers declare.
“As you file nil returns, KRA has information and details about your financial activities. We are not stopping you from filing nil tax returns, but we will inform you of transactions you made, especially through mobile money,” he said.
Under the new plan, KRA will introduce pre-filled tax returns. This means some income details will already appear in the system based on what the authority knows.
Taxpayers will then be asked to confirm if the information is correct. If they disagree, they will have to explain why.
“If you agree with the pre-filled data, the process moves forward. But if you say no, you must justify the difference,” Oray added.
KRA says the move is part of wider efforts to make tax filing easier while also dealing with cases of underreporting.
The changes come as the authority looks to track income from different sources more closely, not just formal employment.
At the same time, KRA has assured Kenyans that filing nil returns is still allowed. However, those declaring zero income may now be required to explain their financial activity if it does not match their filings.
The tax body has also urged taxpayers to file their returns on time and ensure the information they provide is accurate.
READ ALSO: How to File KRA Nil Returns (2025/2026 Step-by-Step Guide)
