The Kenya Revenue Authority (KRA) has rolled out the electronic Tax Invoice Management System (eTIMS), which is set to make tax filing and remission easier for businesses.
The eTIMS is set to complement the existing Tax Invoice Management System (TIMS), which is handled through Electronic Tax Register Machines, popularly known as ETR machines. The upgrade of TIMS will enhance the efficiency of transmitting electronic invoices to KRA on a real-time basis. The new eTIMS system will enable VAT-registered businesses to connect their accounting system to KRA without the need to buy expensive ETR TIMS devices.
The system went live on 1st February, 2023. “eTIMS is the software version of the Tax Invoice Management System which provides additional ways of transmitting invoices to KRA on real time basis. The software will be provided to taxpayers by KRA at no additional cost,” KRA describes the system.
According to a statement by KRA board Chair, Mr Anthony Mwaura, on 23rd January 2023, there are 106,600 VAT taxpayers in Kenya and only 61,000 were registered with TIMS. KRA says this upgrade will significantly enhance the experience of taxpayers in managing tax invoices.
This latest version will be available through four channels, providing tax payers with convenient ways to issue tax invoices and have them transmitted to KRA in real-time. The options include an online portal, client version that can be used on laptops/computers or tablets, a mobile application, and an application that facilitates integration with existing billing systems.
Instead of using the traditional ETR machines, the new system allows businesses to use desktop or laptop computers, tablets, Virtual Sales Control Units (VSCU) and mobile phones. According to a statement released by KRA on 27th February, the online portal will enable Tax Payers to issue tax invoices and have them transmitted to KRA in real-time. eTIMS will thus facilitate electronic tax invoice management through standardisation, validation, and transmission of invoices to KRA. Offers faster processing of VAT refunds, pre-filled VAT return, and non-intrusive verification of tax matters.
