October 24, 2024
KRA to Enforce Tax Compliance on Mobile Phones and Retailers
KRA and CA Implement Tracking System for Mobile Phones to Ensure Tax Compliance Amid Privacy Concerns.
The Kenya Revenue Authority (KRA) and the Communications Authority of Kenya (CA) will begin tracking mobile phones from January 1, 2025, to ensure taxes on all imported and locally assembled devices are paid.
Manufacturers, importers, wholesalers, and retailers must upload each device's International Mobile Equipment Identity (IMEI) number to KRA’s portal for tax verification before sale. Only phones with verified IMEI numbers will be connected to mobile networks.
Non-compliant devices will be Grey listed and eventually blacklisted if taxes remain unpaid. The new regulations will apply to devices imported or assembled from November 1, 2024, leaving devices already in use unaffected. Concerns have arisen over potential government surveillance using the IMEI data, raising privacy issues.
