Taxman will soon be knocking on the doors of service providers for tax compliance.
Businesses such as mobile service providers will be forced to ensure that vendors and agents have PIN numbers so that they are captured within the tax bracket.
“We propose to expand the list of transactions that require PIN to include registration and renewal of membership to professional organisations,” KRA stated in its proposals to Treasury.
KRA also wants Treasury to put in place measures that will allow third parties to share information with the tax agency for purposes of tax compliance.
Through the tax proposals, KRA is seeking to bridge revenue gaps that plague it every financial year.
KRA also intends to levy income tax on service providers that are currently out of the tax bracket.