The Kenya Revenue Authority (KRA) could miss its full-year revenue target by more than Sh100 billion, Cytonn Investments has said in a report.
The taxman had collected Sh687 billion by February 2016 against a target of Sh1.21 trillion by June. This gives it just four months to raise Sh527.9 billion, which Cytonn says, at KRA’s current pace, will lead to a revenue collection deficit of more than Sh100 billion.
However, the Treasury said the shortfall was mainly a result of a dip in payroll taxes, a shortfall in Value Added Tax from imports and delays in implementing the 2015 Excise Duty Act.
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