Written by Lisa Murimi
In a bid to expand Kenya’s tax base and improve compliance, the Kenya Revenue Authority (KRA) has entered into a strategic partnership with the Kenya Private Sector Alliance (KEPSA), adopting a collaborative approach that seeks to make tax obligations more predictable and business-friendly.
In a joint statement issued on June 12, both institutions confirmed they had held a high-level meeting focused on building sustainable solutions to encourage voluntary compliance within the private sector.
Among the key outcomes was the agreement to establish joint technical working groups to tackle sector-specific tax challenges and enhance taxpayer education, particularly for small and medium enterprises (SMEs).
KRA and KEPSA committed to holding regular quarterly engagements and introducing a shared monitoring framework to ensure tangible progress on identified reforms.
The next forum is expected to address taxation in the digital economy, customs reform, and targeted investment incentives.
KRA Board Chairperson Ndiritu Muriithi praised KEPSA’s role in bridging public-private sector dialogue.
“KEPSA plays a vital role in representing a cross-section of the private sector. Through structured engagement and shared insights, we can co-create solutions that ease compliance, unlock new revenue streams, and ultimately drive economic growth,” he said.
Echoing his remarks, KEPSA Chairman Dr. Jas Bedi affirmed the private sector’s commitment to supporting Kenya’s fiscal reforms.
“We appreciate KRA’s openness to continuous dialogue. This engagement ensures that tax reforms are practical, predictable and in alignment with the realities businesses face on the ground,” he said.
The initiative forms part of KRA’s broader strategy to increase the active taxpayer base from 9 million to 13 million by 2027.
KEPSA also pledged to mobilise its members for policy discussions, feedback sessions, and outreach initiatives.
The partnership was further strengthened by KEPSA’s commendation of KRA’s recent tax amnesty, which offered businesses a fresh start in aligning with national tax laws.