Tax Evasion: All Registered Safaricom Users Will Now Pay Tax.
William Ruto has proposed the use of technology to unlock the magic that lies within it.
He said this to address the fact that Mpesa has 30 million registered users, whereas KRA has only registered 7 million tax payers.
Ruto said that radical changes would be required to explain this disparity.
If Ruto’s administration can understand this mystery and take the necessary measures, KRA might end up surpassing its current collection target by over 50%.
Automation will be key not only in the collection of taxes but also in safeguarding the revenues generated. This will deal with leakages in the system, such as runaway corruption.
As the government focuses on automation, it is their hope that Kenyans will not start holding cash in their homes without banking it.
They have been hit hard by inflation in the country as well as a rise in basic commodity prices and will try to hold onto what they have as much as possible.