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Home 2014 June Howto do VAT on iTax

Howto do VAT on iTax

VAT_Rates_in_Kenya

Everyone knows that VAT reporting and payments should be made on or before the 20th of every month. A lot of us have been using the old Taxpayer software/ ITMS before but are slowly shifting to iTax as required by KRA.

We have been doing a series of posts on the different company tax obligations required by law that can be done on iTax. This is yet another post of that continued coverage on how to use iTax.

Checklist
  • Monthly Z report from your ETR machine – for output VAT/ sales
  • Expense sheet for the month (with VATable items) – for input VAT/ purchases
Motivation

“Where any amount of tax remains unpaid after the date on which it becomes payable, an interest equal to two percent per month or part thereof of the unpaid amount shall forth with be due and payable.”

Procedure

Step 1: Download the VAT excel sheet from iTax (similar to the one from the old taxpayer software/ ITMS).

The VAT excel sheet that you need to download is found under the “Returns” menu item. You have to pretend that you are doing an actual return to actually get the required file.
So, go to Returns >> File Returns >> Value Added Tax (VAT) >> Download File (select one of the available downloadable excel file).

The available VAT spreadsheets are in MS Excel format and Open Document Format (for Open Office). However, when we tested it the ODS format file we found that it was not working at all! So that seems that right now, the only way is to buy Microsoft Excel (not cheap) and use the excel version. Also for the smoothest operation we recommend that you do this on a Windows machine.

 

Step 2: Fill out the details of the excel sheet and generate the output – zip file.

Using your monthly Z report and expense sheet, fill out ALL the relevant tabs on the VAT spreadsheet. There are several tabs and they all need to be filled out correctly. This procedure is similar to what they had on the taxpayer software and ITMS, now just on an excel spreadsheet. When you are done, validate the spreadsheet – if it has any errors, the validation will let you know otherwise it will prompt you to generate a zip file that you will upload onto iTax.

Save the zip file on your machine where you can easily access it for uploading.

 

Step 3: Upload the zip file onto iTax.

At this point, your VAT spreadsheet, now saved as a zip file is ready for submission. Go to iTax then login using your company security credentials. On the top menu bar, click the “Returns” menu item and select the option, “File Return” on the drop down.

VAT_File_Return

 

Now on the “e-Returns” page, click the drop down menu and select “Value Added Tax (VAT) as your “Tax Obligation”.

VAT_File_Return

 

Proceed to fill out the blanks on the “Value Added Tax (VAT)” form. That should probably only be the “Return Period From”, the “Return Period To” will automatically be filled out as the system only expects you to do a return for one month at a time. Click the upload button, locate your saved zip file, check the “Terms and Conditions” and “Submit” the return.

VAT_Upload_File

 

If the file you have uploaded does not have any issues, the system will allow you to proceed to the next step. Otherwise you will get an error message that will require you to go back to the excel file that you prepared to make corrections.
For example, this month we did a mistake when we were preparing our VAT return. On the last tab where you are supposed to fill out any credit amount from the previous month, we indicated that the amount was “0” (from habit as we always pay our VAT 😉 only that last month, we had a negative credit balance that we were meant to offset with this month’s return).

These are some of the mistakes to watch out for. Good thing, iTax will notify you to the mistake and you can correct the error then validate and save the excel afresh. You do not need to use the “File Amended Return” menu item when submitting the second time as technically, you had not successfully submitted the first time. Just repeat the process and you will be fine.

A successful submission will give you an “Acknowledgement Number” and a download link to access your “Returns Receipt”.

VAT_Download_Receipt

 

Step 4: Generate payment slip for the just submitted VAT liability.

Having submitted the return, you now need to generate the payment slip for this liability. There are two ways of doing this, either click the “Payments” menu item and select the “Payment Registration” option from the drop down, OR, from the image above, simply click the “Payment” button to proceed (this is highly recommended).

Proceed to fill out the blanks on the “e-Payment Registration Form”. Good thing you click the “Payment” button from the previous page so that a lot of the detail is already filled out for you. If not, confirm that the “Tax Head” reads “VAT”, the “Tax Sub Head” reads “Value Added Tax (VAT)” and so on (refer to image below).

Confirm that the liability amount under “Liability Details” is what you expect to be paying, select the radio button and click the “Add” button.

VAT_Payment_Information

 

This adds the liability details to the “Payment Details”. This should then give you the total that you are meant to pay (there could be more then one liability that you are paying for).

Proceed to select the “Mode of Payment”; Cheque, Cash or RTGS and finally select the “Receiving Bank Name” – this should be the bank where you intend to make your payment from. Chances are, it is the bank that you bank with as a company. Click the “Submit” button to submit the payment details.

VAT_Payment_Details

 

A successful submission give you a “Payment Registration Number” an expiry date for your “Payment Slip” and a download link where you can access your payment slip.

VAT_Download_Payment_Slip

 

Step 5: Pay the VAT liability at your local bank

Final step is to print the “Payment Slip” in 2 copies and take both to your local bank with a cheque for the amount indicated on the payment slip.

One of those copies will be kept by the bank as an indication of your payment while the other one will be stamped and given back to you as your receipt for your own books. This is a very important document as it’s actually shows that you have paid your liability. In case the bank has an issue with their system and miss to register your payment, you can always fall back to this document as evidence for the payment.

iTax also sends you a confirmation email when you have made a payment and you can always check your “General Ledger” on iTax for verification of the payment entry.

Jun 19, 2014Angela Nzioki
Image4 years ago 193 Comments Compliancy, Goverment officesIncome tax, iTax, ITMS, KRA, KRA returns, Tax, Taxpayer, Taxpayer software, Value Added Tax, VAT, VAT returns0
Angela Nzioki

I love books, I'm a wannabe professional writer, I love technology and all it has to offer, I want to travel and see the world, I love golf, I love drama, I love mentoring women in technology, I see the challenges we face as Africans and I want to find solutions for them, I love people.
Co-founder of Pluspeople Kenya (aka Uhasibu).

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Comments: 193
  1. Joseph Kiminda
    11 months ago

    Hi. I am trying to file paye for the company staff. Have downloaded and populated all areas. However when I view receipt. All areas are zero. What could be the problem.

    ReplyCancel
  2. Mr. Ayub Wangera
    1 year ago

    A company has issued ETR since 2016. on KRA iTAX Portal no VAT Obligation had been selected. No Vat Has therefore been paid since. Whats the procedure to correct that now & pay KRA?

    ReplyCancel
  3. Tole
    1 year ago

    Please show the VAT excel screen shots,they give me hard time.

    ReplyCancel
  4. Sam
    1 year ago

    I'm trying to file nil return for vat but there's a credit balance that was carried forward from previous month of about sh 321.25. How do I go about it?

    ReplyCancel
  5. KEVIN ONCHWATI OMBUI
    1 year ago

    I have challenge i filling vat of my company i have done some supply with govt ministries but they dont issue withholding vat certificate, and another question how do i fill in my purchases which has vat on itax.

    ReplyCancel
  6. BONIPHASE OKOTH ONG'ONG'A
    1 year ago

    Anjela Nzioki ,I got my pin from a guy who entered his email address without me knowing and now whenever I want to file my returns I cannot because I don't have the password to log into my account please tell me what can I do to file my returns? Please help, my email address is ( ongongabon@yahoo.com)

    ReplyCancel
  7. Lyn
    1 year ago

    hi! I just want to ask if the invoice is dated June 2017 but i haven't included in VAT report last June can I record that on August report including the VAT? hope you can help me. Thanks

    ReplyCancel
  8. Gilbert Wambugu
    1 year ago

    Hi, how does one import csv data on Vat3-returns without a template?

    ReplyCancel
  9. Tony
    1 year ago

    Hi, apart from filling monthly VAT returns, do i have to file annual income returns at the end of each financial year?

    ReplyCancel
  10. omondi
    1 year ago

    Hi,
    Having filled all the details,the feedback i get is that credit brought forward from previous month must be equal to the previous month credit brought forward,what it the solution to this being a first timer in filling vat returns.

    ReplyCancel
  11. Nazerali
    1 year ago

    Good day,

    What is the procedure for uploading a CSV file onto the iTax excel file for VAT. I keep on getting an error

    ReplyCancel
  12. Alfred
    1 year ago

    Wonderful.

    ReplyCancel
  13. Gathu
    2 years ago

    I am in a non-VATable "jua kali" motor repair business. I did some repairs for an insurance company which paid me (via bank transfer) inclusive of VAT at 16%. KRA are asking me to pay the VAT by filing the return. Which return form can I download for this one-off VAT transaction? Can I pay online or must I go to KRA office

    ReplyCancel
  14. wanyoike
    2 years ago

    martha kilakoi the answer to your question is with you just log in to your itax account, then go to link wher you will reprint the witholding vat certificate which you wiil declare.

    ReplyCancel
  15. Naomi
    2 years ago

    Dear Angela,
    Thanks for been there answering our questions.
    Can i retrieve an e-acknowledgement receipt for VAT? If yes, how do i go about it?

    Thanks,
    Naomi

    ReplyCancel
  16. emmanuel
    2 years ago

    how do i get this monthly Z report from ETR machine?

    ReplyCancel
  17. Peter
    2 years ago

    I wrongly keyed in the sales instead of putting 3million i key in 37million hence overstating what to pay when trying to amend its reluctant what can i go about it

    ReplyCancel
  18. Suzzern
    2 years ago

    How do I file my return having a withholding certificate and my current month have nil return at the same time?
    This is the message that is telling me....You can not file NIL Return as you have withholding certificates to be declared.Please declare the same.

    ReplyCancel
  19. Obuya Michael
    2 years ago

    Hi, am a businessman,how do i work my figures to find the amount of VAT refund i should claim from KRA when i have my purchases receipts for company expenses

    ReplyCancel
  20. denk
    2 years ago

    How do you include credit notes while filing vat

    ReplyCancel
  21. Nic
    2 years ago

    Company has a pin is registered in ITax, do i need to register again for VAT.

    ReplyCancel
  22. grace
    2 years ago

    thank you for sharing

    ReplyCancel
  23. Nelson Nyandieka
    2 years ago

    what does a negative on my tax return mean?

    ReplyCancel
  24. Rachel
    2 years ago

    Am trying to fill my details on the itax form and required to fill the slot on security stamp. My question is what am i supposed to fill and how should i go about it?
    Kindly assist.

    ReplyCancel
  25. Rachel
    2 years ago

    Hello,
    Am trying to fill the itax form and am required to fill the slot on security stamp. my question is what am i supposed to fill and how do i go about it?
    Kindly assist.

    ReplyCancel
  26. cyro
    2 years ago

    hae, what does it mean when tax due/(refund due) is a negative digit?

    ReplyCancel
  27. Anyiri
    2 years ago

    Hi Angela,
    After submitting my individual return, i am getting the following errors, what should i do?
    Sr.No. File Section Error Description
    1 O_WHT_Credits Withholding Certificate Number KRAWHTWONxxxxx2015 has been issued for the taxpayer. Please declare the same.
    2 O_WHT_Credits Withholding Certificate Number KRAWHTWONxxxx2015 has been issued for the taxpayer. Please declare the same.

    ReplyCancel
  28. Jimme
    2 years ago

    Am trying to file my returns (individual) but the excel work book is giving me an error of my Exel 2007 that its not updated . please help

    ReplyCancel
    • Angela Nzioki
      2 years ago

      Jimme, that is a software issue. I would say find a different machine, one that has an updated version of excel. The return works best with Office 2010 and above.

      ReplyCancel
  29. Zain
    2 years ago

    Hi, by mistake i claimed VAT on a Motor vehicle purchase and have already submitted and paid for the VAT returns, how do i reverse the following error in ITax. or is their another procedure for it.

    ReplyCancel
    • Angela Nzioki
      2 years ago

      Zain, unfortunately we have not had that issue ourselves so we don't have any experience to share on this matter - you should consult KRA or a tax-expert.

      ReplyCancel
  30. catherine musyoka
    3 years ago

    after generating the payment slip, do you have to make ur payments the same day? if not how many days are you allowed by KRA before they penalize you?

    regards

    ReplyCancel
    • Angela Nzioki
      2 years ago

      Catherine, the payment slip normally has a validity period at the bottom. I think it is about 20 days but KRA will penalize you after the 20th of the month regardless of whether your payment slip is still valid or not.

      ReplyCancel
  31. Abdi
    3 years ago

    Hi, How do you generate e slip for VAT penalties

    ReplyCancel
    • Angela Nzioki
      2 years ago

      When consulting the system to make payments, it will automatically include the penalties you owe and add those to the total of what you owe.

      ReplyCancel
  32. DICKSON
    3 years ago

    Am doing VAT for the first time
    Have done the VAT from purchases part validated it
    Kindly advise how i can link it to VAT from sales

    Should i do two zip files or? pls advise

    Rgds
    Dickson

    ReplyCancel
  33. godfrey
    3 years ago

    In the itax excel sheets there is no place to adjust for VAT exemption certificates.How do i adjust this in itax?

    ReplyCancel
    • Angela Nzioki
      2 years ago

      Godfrey, unfortunately we have not had that issue ourselves so we don't have any experience to share on this matter - you should consult KRA or a tax-expert.

      ReplyCancel
  34. silvester
    3 years ago

    i registered my KRA pin with help of a cyber attendant but when i try to update for i tax i get a message "declare business or rental income" how will i uncheck it under obligation details

    ReplyCancel
    • Angela Nzioki
      3 years ago

      You should be able to edit your PIN details on iTax after logging in. On the "Registration" tab there's an "Amend PIN details" link on the drop down menu.

      ReplyCancel
  35. ERICK
    3 years ago

    what happens when i have done everything and the submit button is not showing up; its really embarrassing me!

    ReplyCancel
  36. Samson Owino
    3 years ago

    Hi, I have downloaded the VAT return excel, filled it and validated it with NO errors, however when i click submit to send the form, i get an error saying i should use version 9 template, where do i get this version 9 template?It's nowhere on he itax website.Thanks.

    ReplyCancel
  37. JOHN
    3 years ago

    Hey, i already have a PIN Certificate for my company and am trying to register for VAT kindly give me a step by step procedure on how to get the VAT Certificate on iTax

    ReplyCancel
  38. Mutahi
    3 years ago

    Hi, I had filed a return in June with an error in the invoiced amount. What procedures would I need to take in order to credit the excess VAT paid from my end? I tried keying in a negative value of the amount but the Excel sheet does not accept the date of the invoice. Any help in this is much appreciated. Thanks...

    ReplyCancel
  39. Tony
    3 years ago

    hey am trying to register company's pin for itax,but am being asked for security stamp?would help me understand what this is?

    ReplyCancel
    • Angela Nzioki
      3 years ago

      Security stamp is the capture that the iTax system sends to your email with your credentials.

      ReplyCancel
  40. Violet
    3 years ago

    i have several purchases and want to use a csv file from a normal excel workbook then import it to the KRA VAT form. i fill all the details but on importing, it tells me "Please select a proper CSV file for this schedule" Help

    ReplyCancel
  41. nick
    3 years ago

    I buy most of my work materials from the supermarkets. So when I want to claim input tax when filing vat returns,they ask for the invoice number and date. Please advice when you buy goods from supermarkets what do you input from the receipts when claiming input tax

    ReplyCancel
    • Millie
      2 years ago

      The hoetsny of your posting shines through

      ReplyCancel
  42. naeem
    3 years ago

    Hi,
    I work in a law firm, and am doing VAT for the first time on any system.A client paid legal fees after deducting 5% WHT. So in filling my excel worksheet, do i need to fill anything in section L_WHT_Credits? Do i need to show the amount of WHT he deducted as per the certificates he brings to me?
    Please help!

    ReplyCancel
  43. Yvonne
    3 years ago

    How does one add a tax obligation on i tax?

    ReplyCancel
  44. mwangangi
    3 years ago

    hy, i want on a more commercial way to be doing returns for small business around my place, wat do i need, please if possible email me on mwangangijackson@yahoo.com

    ReplyCancel
  45. Edwin
    3 years ago

    Hi linda, I have downloaded the zip file, in the general rated sales who are the purchasers. what happens when the tax payer is the purchaser yet the excel sheet does not allow you to fill the same.
    thanks.

    ReplyCancel
  46. Optiplus
    3 years ago

    Hallo,
    We have a company and are trying to get through to Itax to pay our Vat. We have been doing it manually so we are going through the whole updating process from scratch ie even directors Pin.
    Trying to log the company Pin in but getting "details entered for business regd. cert number not matching with records of company registry data in itax" was at the centre for help and was told it ok but still geting the hitch on log in.
    Also is it a must to use a Tax agent for the updates of Pin numbers
    Please advice .

    ReplyCancel
  47. MITHUN
    3 years ago

    hi, everyone,

    i am trying to do the vat return adn it doesnt seem to work out too well.

    it is not the first month i am doing the same.

    but i am facing issues from the past two months.

    i have validated the waorkbook it even generates the zip file. but when i check the work book again it shows me some added coloumns i.e GNRL,ZE,EXEMPT,LOCAL NI,LOCAL ZERO,LOCAL EXEM.

    KINDLY ADVICE

    ReplyCancel
  48. MITHUN
    3 years ago

    hi there i have tried filling my returns online.and i am having an error 143xxxxxxxxxxxx.
    i have downloaded new files and made new csv files. still doesnt seem to work.
    when i validate the work book, a new coloumn appears in the workbook showing GNRL,ZE,EXEMPT,LOCAL NI,LOCAL ZERO,LOCAL EXEM,..... PLEASE HELP.

    ReplyCancel
  49. Shree Akshar
    3 years ago

    In PAYE excel sheet, Even though The Date from and to entered correctly (in the required format), while entering value in the Personal Relief Column it shows the error " PLEASE FIRST ENTER THE RETURN PERIOD FROM AND RETURN PERIOD TO ". Pl.guide on this issue or show us the way forward. Thanking you in advance. Regards.

    ReplyCancel
  50. Lucy
    3 years ago

    I offer itax online filing services. Email me for more information

    ReplyCancel
  51. peterson
    3 years ago

    how can i be getting this notification on my email please

    ReplyCancel
  52. Patriciah
    3 years ago

    Hi Linda.
    We need to apply for a PIN no. for our company as well as VAT No. how do we go about it?

    ReplyCancel
  53. Sofia
    3 years ago

    where can i get exemption certificate number,pls help

    ReplyCancel
  54. Sofia
    3 years ago

    hi, i really appreciate u guys for guiding n helping us,,, my customer is not registered, on general rated sales i left blank on pin of purchaser and fill on customer not regstrd its shows an error to fill the pin. And when i add taxable value then same to customer not regstrd it doubles the amount or am i not suppose to fill on taxable value?

    ReplyCancel
  55. Lilian
    3 years ago

    Hi Angela I am doing Vat returns but I am a bit challenged the client deals with hardware sales. They sale to various daily customer"? I cannot input pin numbers and name of the purchasers since the are many please advise on what to do

    ReplyCancel
  56. mohamed
    3 years ago

    HELLO
    HOW DO I DO THE PAYE RETURNS...?

    ReplyCancel
    • Linda Kariuki
      3 years ago

      Hi Mohammed, there is a blogpost How to do PAYE on how to go about this.

      ReplyCancel
      • josphat
        2 years ago

        Hi,,
        i am doing my VAT online .For the first time im claiming VAT paid on imported services,..Where do i get the payment registration number?

        ReplyCancel
    • Lucy
      3 years ago

      Contact me on that email address

      ReplyCancel
  57. hilla
    3 years ago

    Where do i input credit notes from suppliers on itax?

    ReplyCancel
    • Linda Kariuki
      3 years ago

      Hi Hilla, I would advise you to consult with the KRA call center as we have not dealt with credit notes from suppliers before hence not in a position to give you a satisfactory answer.

      ReplyCancel
  58. Hope
    3 years ago

    how do i get my e-acknowledgement receipt after filling.

    ReplyCancel
    • Angela Nzioki
      3 years ago

      Hope, for every return done on iTax, they send you an email (rather they send an email to the iTax account holder) with the receipt attached. However, you can always get access to a similar report if you click on "Returns", then "View Filed Return" and proceed to fill out the details of the return you want to view once more.

      ReplyCancel
      • Alfred
        2 years ago

        Does this work for Nill Returns? I have not received any receipt in my mail that i used for itax registration purposes. Is there a way i can reprint an acknowledgement receipt for nill returns?

        ReplyCancel
  59. Steve Jean Osogo
    3 years ago

    This website is very helpful, thank you guys ... but we are not fully addressing this issue of Customer Pin or Customer ETR No. do we leave it blank or what exactly should we enter on the Customer Pin kindly help everything else seems to be fine even validating with a random pin

    ReplyCancel
    • Linda Kariuki
      3 years ago

      Hi Steve, usually when filling our VAT excel sheet, we enter the taxable amount (from the monthly z-report) in the "Total Sales and VAT to Customers not registered for VAT (Ksh)" field. This way you are not required to put the pins of every customer.

      ReplyCancel
  60. lilian
    3 years ago

    Hi, I would like to file individual returns. Am i supposed to fill 2014 Individual Return Form?

    ReplyCancel
    • Linda Kariuki
      3 years ago

      Hi Lilian, we usually don't deal with individual related queries but if you haven't filed your returns for the year 2014 then yes. Go to the file return tab on your Itax account and specify the type of return and the period.

      ReplyCancel
  61. grace
    3 years ago

    i have tried to upload ma zip file since monday imekataa.and also my customer don't have pin nos ........i have put the total figure to the unregistered customer but hitaki kuvalidate inasema iko na error .what should i do?

    ReplyCancel
    • Linda Kariuki
      3 years ago

      Hi Grace, when you get an error in your excel form, you need click on the errors button at the bottom of the sheet to figure out what the error is and correct it. Confirm your "Taxable amount" and "VAT amount" are accurate before you proceed.

      ReplyCancel
      • grace
        3 years ago

        all customers are not registered,i have put the amount to unregistered customer bt still indicate dat i ve an error of not filling the space of pin no of customers ,what shuld i do?

        ReplyCancel
        • Linda Kariuki
          3 years ago

          Hi Grace,
          Sometimes the excel form gives you the error if you had tried to type in something in the registered customers' space. Click all those spaces and hit delete to clear any existing characters. Hopefully this works, otherwise contact the KRA.

          ReplyCancel
  62. WINNIE
    3 years ago

    I offer I tax online filing services for a small fee. Email me for more information.

    Thanks

    ReplyCancel
    • john
      3 years ago

      I have not filed my taxes at all for almost two years since registration, what would you need to file my taxes, how much is your fee?

      ReplyCancel
    • Terry
      3 years ago

      Please give me details of your fee?

      ReplyCancel
      • WINNIE
        3 years ago

        Hi Terry,

        The fee is dependent on the workload. Please email me on wnjoki21@gmail.com we discuss further.

        ReplyCancel
    • Karis
      3 years ago

      Hw much do you change.

      ReplyCancel
  63. Lilian Nafula
    3 years ago

    hi,
    I got the first password from KRA but i did not change immediately because i thought one could copy paste it directly from the email but unfortunately you cant.
    I have tried to type it but the message is it is a wrong password.
    I have four times remaining,can i get help?

    ReplyCancel
    • felix
      1 year ago

      type the password the way it appears in your email

      ReplyCancel
  64. amar
    3 years ago

    Hi there....good site for info....quick question...just to get it right. ...We complete excel, upload zip file then make payment registration then pay at bank right?? What do we do with z-report? ?
    Thanks

    ReplyCancel
    • Linda Kariuki
      3 years ago

      Usually, if you don not have the pin numbers of all your customers, a simpler way is to enter the taxable amount (from the monthly z-report) in the "Total Sales and VAT to Customers not registered for VAT (Ksh)" field under the sales section of the form.

      ReplyCancel
  65. Amit
    3 years ago

    Goods Export o EAC have no export entry. The Importer pays duties in importing country and sends those docs. I tax need export entry details so as to file the return. Any idea as to what to put under Export Entry NUMBER in I tax module ?

    ReplyCancel
    • Linda Kariuki
      3 years ago

      Hallo Amit,
      We have personally never experienced that problem, however when you you do find out how to go about it, we would really appreciate it if you would let us know so we can share with the rest of our readers.

      ReplyCancel
  66. Susan Atieno
    3 years ago

    Paid VAT using itax payment slip,went to equity bank and deposited .they stamped both copies but did not retain one.they told me to take it to kra offices.do I have to do this?

    ReplyCancel
    • Angela Nzioki
      3 years ago

      Susan, I have used iTax for an entire year now and not once have I been told to go to KRA. Hopefully when you selected the bank to pay at you specifically selected "Equity bank". Otherwise I cannot think of a reason why they would send you to KRA. Alternatively you can log onto your iTax account and check your ledger. If the payments were registered, it should be reflected in the ledger and that would mean that KRA have registered the payment and you don't have to physically go to KRA.

      ReplyCancel
  67. Charity Mwaura
    3 years ago

    Hi,
    I need some insight on registration of a Limited Liability Company for VAT .The link i am opening does not show as above. Kindly assist asap. thank you

    ReplyCancel
  68. Sally
    3 years ago

    Hi
    After the confirmation email from iTax on the payment I have made, do I have to file amended returns to reflect the same? I have tried but it is rejecting the upload.

    ReplyCancel
  69. Karani
    3 years ago

    Hi,

    As an It solution provider I would like to design a feature in my system to generate the information required in ITax. Incase an invoice has more than one vatable line should I generate a consolidated tax figure or line by line?

    ReplyCancel
    • Angela Nzioki
      3 years ago

      If you need a system that can do this then you could/should use Uhasibu. One way would be to integrate your system with Uhasibu so that all the financial implications are registered there, then Uhasibu will handle the integration towards iTax.

      ReplyCancel
  70. dipak upadhyay
    3 years ago

    dear sir we paid itax first time to pay vat and after submitting payment we paid kcb bank vat ammount
    and kcb has internal issue technical i paid 18 may but they dnt credit on that day and when i dnt get acknolodge
    from bank and my leger not showing payment paid please assit how to get done and show in my itax leger report
    kcb i contact they said payment paid kra but dnt recieved any acknologement from bank ???
    i have bankes cheque copy , kcb deposit slip, payment genreted reciept by itax

    ReplyCancel
  71. Alexander
    3 years ago

    Any tips on how to file null VAT returns? We registered our company for VAT but have not yet start operating. Id like to file the VAT returns to avoid attracting the monthly penalties. Thank you in advance.

    ReplyCancel
    • JESSE
      2 years ago

      HI DID YOU GET ANY HELP ON DOING VAT WHEN YOU HAVE NOT YET STARTED OPERATING.

      ReplyCancel
      • Angela Nzioki
        2 years ago

        Jesse, why would you be doing VAT if you are not operating yet? You only submit VAT if you are already selling and charging VAT on your sales.

        ReplyCancel
  72. Ben
    3 years ago

    Kindly assist. I have filled the VAT return x.ls form and the error i get is I need to input the PIN of the purchaser.
    Do i require to ask all customers to leave me with their PIN numbers? On the same, which parts are mandatory to be filled on this form? Thanks in advance.

    ReplyCancel
  73. Samuel
    3 years ago

    Hi.I registered a sole proprietorship and received the registration certificate in March 2015.When reegistering I had indicated that my business was to start operation in March 2015 but unfortunately I haven't began operations due to financial constraints.I have not filed any returns yet.Am I supposed to file returns without operation?Please make me understand this.

    ReplyCancel
    • Angela Nzioki
      3 years ago

      It depends on the tax obligations you have registered for. If you have registered for VAT or PAYE as an obligation then you are required to file returns every month from that point and onwards. If you are not registered for VAT or PAYE obligations then you don’t have to file any return until the end of the year.

      ReplyCancel
      • musa
        3 years ago

        When registering for KRA PIN I happened to have indicated Tax Obligation as "VAT" yet I did not have any returns to make. Currently employed and pay tax as required, however, when updating my iTax platform there is no provision to CHANGE my Tax Obligation and time is running out. Please advise on this matter. Thanks

        ReplyCancel
  74. Manasseh Ngichu
    3 years ago

    Hi does anyone have a sample of the CSV file that one needs to upload? in the old TSW system there was an export to CSV sample that guided you in what to fill but on this form there's only an upload CSV button.

    ReplyCancel
  75. wambua
    3 years ago

    when i try to log in onto itax the password double prints itself and they say invalid password. What to do? im applying for a TCC

    ReplyCancel
    • Angela Nzioki
      3 years ago

      Chances are you are typing the wrong password. Try the recovery password option and change the password.

      ReplyCancel
  76. peter
    3 years ago

    Have you guys experienced a case where a VAT return needs to be amended a few months after the original was submitted? For instance, two months after successfully submitting a return, you realize that you made a mistake by under-declaring sales. There is an option of amending the return so you do that. But the question is, will this be treated as a late filling of returns? Are there penalties for payments arising from amended returns?

    ReplyCancel
    • Angela Nzioki
      3 years ago

      No. We haven't experienced that. I guess you just have to go ahead and file the amended return and see what happens :)

      ReplyCancel
  77. veronica
    3 years ago

    i have downloaded the itax exel 2003/2007and filled the details. When i click next it brings this info: "cannot run the macro vat 3 return sheet. macro may not be available in this work book or macro may be disabled."
    What does this mean?

    ReplyCancel
    • Angela Nzioki
      3 years ago

      It means you have not enabled macros on your machine. Google how to enable macros on the machine you are using. Works best on Windows machines.

      ReplyCancel
  78. Julius Thuku
    3 years ago

    How do you treat input tax from General rated purchases whose suppliers PIN are not registered?
    Unlike on output tax,there is slot for unregistered suppliers on VAT 3.

    ReplyCancel
    • Angela Nzioki
      3 years ago

      Julius, as business people ourselves (and not KRA or affiliates of KRA), we always make sure that we have the PIN numbers of all the suppliers we interact with. For anything we buy that has VAT, we insist on an official ETR receipt with the PIN number clearly indicated. This is in order to avoid such problems. I would advise that you consult with KRA on the matter.

      ReplyCancel
  79. Noela
    3 years ago

    I,by mistake, filled Nil VAT returns and had a credit balance, how do i recover the credit balance

    ReplyCancel
    • Angela Nzioki
      3 years ago

      I would suggest you get in touch with KRA for this. It is not something I have experienced myself.

      ReplyCancel
  80. James
    3 years ago

    I am new to this itax payment i want to submit VAT must i have all the pin numbers of the suppliers and customers as well as the etr no?

    ReplyCancel
    • Angela Nzioki
      3 years ago

      Short answer you would get from KRA is yes. However, there's the option on the excel sheet for "unregistered VAT customers", that is the one we use as we also do not have the PIN numbers for our customers. For the suppliers, most official receipts have the PIN number.

      ReplyCancel
  81. simon
    3 years ago

    I have been trying repeatedly to download the vat form(recommended:2007,2010) but cannot be converted to vat format file.the system reads:"converter failed to save the file"please advise

    ReplyCancel
  82. simon
    3 years ago

    newly employed.. very informative and educative.thanks guys

    ReplyCancel
  83. xtine
    3 years ago

    hi, what are the requirements for one to start operating on itax?

    ReplyCancel
    • Angela Nzioki
      3 years ago

      For a business, be a registered company with a PIN number.

      ReplyCancel
  84. Njoki
    3 years ago

    Hi,
    I have credit notes raised form previous months invoices and I want to use them to knock off the Vat due, How do I post them on the I-tax portal.

    Kind regards,

    ReplyCancel
    • Angela Nzioki
      3 years ago

      Credit notes are valid for 6 months. To post them on iTax while filling the returns input a negative figure on the excel sheet/ form, but quote the invoice relating to the credit note.

      ReplyCancel
      • Dimple Shah
        2 years ago

        Hi Nzioki, I tried inserting credit notes for output tax for previous months as negative figure with relevant invoice date and relevant invoice number but portal refused to accept form stating date should be related to current period eg 01/01/2017- 31/01/2017 only. Kindly suggest way forward.

        ReplyCancel
  85. LEAH
    3 years ago

    Thanks for the splendind work you are doing here.
    Please advice the best way to treat withholding VAT certificates as well as what to do where you have exempt and zeo rated sales by foreign clients who donnot have PIN numbers.

    ReplyCancel
  86. Godfrey
    3 years ago

    Thank you for your support. I followed the steps until I printed the “Payment Slip” in 2 copies but I did not have anything to pay since I have a credit to be carried forward to next month. In such a case, What do I do or where do I take the payment slips

    ReplyCancel
    • Angela Nzioki
      3 years ago

      Godfrey, you are most welcome. Maybe you should take the payment slips to the bank to get a stamp, just in case. And while at it, confirm whether it is necessary to do that. I would assume that you don't need to but never hurts to be double sure.

      ReplyCancel
  87. zoeb attarwalla
    3 years ago

    hello....if a vendor is a registtered VAT taxpayer, and he does not issue a ETR receipt, but writes its serial number in the bottom. so how do i get the ETR serial number??...please help!

    ReplyCancel
    • Angela Nzioki
      3 years ago

      The vendor is breaking the law. Anything you charge VAT for should be accompanied by an ETR. As a consumer, it is your right to demand for an ETR receipt whenever you have been charged VAT for any goods/ services bought.

      ReplyCancel
  88. ely
    3 years ago

    How do i lodge my withholding vat certificate on the itax platform

    ReplyCancel
  89. Mary
    3 years ago

    Hi...my company has been under closure past few month and i had a credit balance. Last month no transaction so i am filing a nil return.When i tried to file the nil return there was an error saying i need to clear my credit first.
    How do i clear this credit on itax

    ReplyCancel
    • Angela Nzioki
      3 years ago

      If it was a VAT credit, then check your liability under VAT, there should be a section where you can register payment then clear the credit.

      ReplyCancel
      • Candie
        2 years ago

        Arcitles like this are an example of quick, helpful answers.

        ReplyCancel
  90. Alim
    4 years ago

    I've been struggling to do my returns on i-tax. But after I discovered this website, it seems so easy! Thank you to the wonderful people who have set this website up and helping us!

    ReplyCancel
    • Linda Kariuki
      4 years ago

      Hi Alim, we appreciate for the feedback. Keep reading. :-)

      ReplyCancel
    • THOMAS KITOTI
      3 years ago

      WHICH WEBSITE DO I USER TO FILL RETURNS

      ReplyCancel
      • Angela Nzioki
        3 years ago

        Thomas, iTax - the KRA online Portal: https://itax.kra.go.ke/KRA-Portal/

        ReplyCancel
  91. aariston tumlos
    4 years ago

    Hi angela,

    im paying vat, and theres a credit note, unfortunately the company pin of where i issue a credit note is not registered in itax. please assist me as the deadline of paying vat is fast approaching. when i uploaded the csv file it show company not registered.

    ReplyCancel
    • Angela Nzioki
      4 years ago

      KRA are carrying out iTax training from the 23rd February to 20th March and those are some of the issues that I think they will address. I do not have direct answers myself but I am sure they will be of better help. Here is the registration form to attend one of the trainings.

      ReplyCancel
  92. Vijay
    4 years ago

    ITAX Is not complicated it is simple,

    ReplyCancel
  93. FATEMA
    4 years ago

    When i am trying to upload the csv file for credit notes its saying ' pls select a proper csv file ' wat could i be doing wrong ? i hv checked and rechecked cant find why its giving me that error. whereas i managed to upload the purchase invoices nicely without any problem .kindly advice

    ReplyCancel
    • Linda Kariuki
      4 years ago

      Hi Fatema,
      I am sorry but we have never experienced that problem before and hence not in position to give you a satisfactory answer. I recommend that you to get in touch with KRA and to please let us know what you are told coz that would be something of interest to blog about. Goodluck.

      ReplyCancel
      • Benard Masita
        3 years ago

        Hi, i'm trying to file the PAYE Returns and Im getting the same error as Fatema "Please Select the Proper CSV file for this Schedule" what do i do to proceed. Please advice

        ReplyCancel
        • Angela Nzioki
          3 years ago

          Like Linda instructed Fatema, we are independent business people sharing our PERSONAL experiences interacting with iTax. We have not come across that problem so we would not know how to solve it. Kindly get in touch with KRA for further assistance.

          ReplyCancel
  94. Kennedy
    4 years ago

    How do I add PAYE TAX OBLIGATION in the itax

    ReplyCancel
    • Linda Kariuki
      4 years ago

      Hi Kennedy,
      You will have to log back into ITMS then add it.

      ReplyCancel
  95. Erick
    4 years ago

    I bought an ETR machine last month and didn't get any sales that period. I am using excel file from itax to file return for next month. The VAT Reciept I got from the supplier of the ETR states that the VAT Charged is Sh 3,172 on 23, 000 but when I type the figure of 23,000 in the excel file it calculates the VAT to Sh 3,680. The 16% of 23000 comes to 3680 (0.16*23000). How can I go about this considering the ETR Receipt from the Supplier printed the error of Sh 3,172 for the same amount of Sh 23,000?

    ReplyCancel
    • Fred
      3 years ago

      Hi Eric,
      I guess the 23,000 is inclusive of VAT hence the calculation should be 16/116*23000=3172.The taxable amount should therefore be 100/116*23000=19827 and not 23000.I would therefore suggest you type 19827 which is exclusive of VAT and then ITAX will calculate the correct VAT for you(3172).Thanks

      ReplyCancel
  96. Shyra
    4 years ago

    hi, i am trying to fill my nil return on my itax for the month of Septmber but i am unable to when i get to that part of 'Return Period From. i am inserting the date 20/09/2014 but the system has refused that i am unable to submit the return. kindly assist.

    ReplyCancel
    • Linda Kariuki
      4 years ago

      Hi Shyra,
      When filling the returns, 'the Return Period From' is the first day of the month your filling for, probably the reason the system failed to recognize the date you input in this case.

      ReplyCancel
    • lucas
      4 years ago

      hi Shyra,kindly not that the return for september is being filed on or before 20th october.l
      like in your case you should put the date as 01/09/2014. to 31/09/2014.for more infor call 0710806031

      ReplyCancel
  97. Mike
    4 years ago

    In my opinion using itax tempts one to use PIN numbers lifted from anywhere to enable validation and submission after rejection of existing PIN numbers. Example is in the zero rated sales section whre the system insists on having a PIN yet the value is zero and the company doesn't have any zero rated sales out.

    ReplyCancel
  98. Charles
    4 years ago

    In case I have a purchaser who has no PIN no. How do I go about this?

    ReplyCancel
  99. Erick
    4 years ago

    Great information! Is it the same process when you are filing for NIL Returns?

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Erick, thanks for the feedback. We haven't tried filing NIL returns but I would think so.

      ReplyCancel
  100. MERCY
    4 years ago

    hi,
    iam filling vat returns for rental business. on the general rated sales, I provide my companys pin, bt its rejected since it cant be the same as the taxpayers pin( the company) can I put my sales under the taxpayers without vat?

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Mercy, yes, we have seen most people use that as an option as not always will you have all the PINs from your customers.

      ReplyCancel
  101. Cynthia
    4 years ago

    Wow, this was so helpful. Thanks so much. i was stuck on the customers PINS so stumbled on your post from which i have learnt a lot. Let me get to it now.

    ReplyCancel
  102. Gilbert
    4 years ago

    hi i want to file VAT on line bt am enable to start i dnt understand the guide line given help me to go about it before i loose ma new job

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Gilbert, let me make it clear, we are not KRA nor representatives of KRA, we are just people running our own business and sharing our experiences as we go so that others may be helped as well. That said, the post we have on VAT is to show you how to submit your VAT online. You still need to figure out how to fill out the VAT excel sheet on your own, maybe consult with an accoutant or someone who has done it before.

      ReplyCancel
  103. jay
    4 years ago

    My all customers they dnt have pin number!on sales output section we leave blank and fill"Total sales to customers not registered for vat

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Jay, yes a lot of people are choosing that route. It seems to be the easier option for now seeing as no one ever has all their customers PIN numbers.

      ReplyCancel
  104. Bernard
    4 years ago

    what if I have bought taxable goods from vendors who have pins on their invoices but they have no ETR Machines hence they didn't issue me with an ETR receipt but they are registered taxpayers. can I offset Vat charged on me there in my return to KRA as taxable purchases.

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Bernard, No, you cannot offset VAT for any purchase without an ETR receipt. It is your right as a customer to always demand for an ETR receipt if the seller is charging VAT on the sale.

      ReplyCancel
  105. JUSTUS K MULI
    4 years ago

    ITS ACTUALLY SIMPLE

    ReplyCancel
  106. ANN
    4 years ago

    when filling in the section for the sales do i write my ETR serial Number & Invoice number and suppose i dont know the pin number of the client i sold my goods to what do i do

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Ann, technically you are meant to have those details but if you don't I believe there's a field where you can fill out “Total sales to customers not registered for VAT”.

      ReplyCancel
      • Char
        2 years ago

        I'm imrsesped. You've really raised the bar with that.

        ReplyCancel
  107. Ruth
    4 years ago

    Hi,

    What can I do when I overpay VAT? Say am supposed to file a return on Ksh 88,000 then I mistakenly pay Ksh 68,000..... Where can I apply the excess?

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Ruth, that sounds like an underpayment and not overpayment. Overpayment is okay as you can pay less the following month. Underpayments are dangerous as these attract penalties. Since it's not past the deadline then I guess you simply report the missing amount and make the payment at the bank...
      NB: The reason as to how and why you ended up at the lesser value are important.

      ReplyCancel
  108. Chris
    4 years ago

    I had a credit balance for VAT, then I made a mistake of filing nil return for the 1st time on itax, now how should I recover the credit from previous month?

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Chris, that is a tricky question. Normally we only share on the blog things we have experienced ourselves, yours NOT being one of them. Kindly talk to KRA, iTax help desk and figure that out but please let us know so that we can blog about it.

      ReplyCancel
  109. Elsie
    4 years ago

    is it true that once you have registered on itax and you do not submit returns using the same(assuming i use the old system itms) that there are charges/penalities for the same?

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Elsie, No. That is not true. There seems to be a bug on the iTax system where it expects you to submit through it once you have registered. The way to go about this is to call KRA and get them to reset you submission date to start as from when you are ready to start submitting through iTax. But once you start, it's better to stick to it rather than to keep hip-hoping from one system to the next.

      ReplyCancel
  110. EBRAHIM
    4 years ago

    Hi there, how do you delete a line on the main csv file

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Ebrahim, I have not use the CSV file before, I would not know how to go about this. The excel sheet seems to work perfectly fine, maybe you want to try this instead if the CSV file has problems?

      ReplyCancel
      • evans
        3 years ago

        Hi Angela , my pin has no obligation , is there a way that i can amend it online before i proceed filing returns.

        ReplyCancel
        • Angela Nzioki
          3 years ago

          Evans, yes. If you log onto iTax, click on Registration and then Amend PIN details, you should be able to update your tax obligations.

          ReplyCancel
  111. Rj
    4 years ago

    What if I do not know the pins of my purchasers?

    ReplyCancel
    • Linda Kariuki
      4 years ago

      Hi Rj, the pins should be on the invoices/most ETRs. If however they are not and you cant obtain them by asking the suppliers you then cant be able to offset the VAT.

      ReplyCancel
  112. Darline Achoka
    4 years ago

    Hi, have gone through i-Tax and it is so educative.Thank you.

    ReplyCancel
    • Linda Kariuki
      4 years ago

      Hallo Darline, We appreciate the feedback :-) .Keep reading.

      ReplyCancel
  113. DERICK IMBAI
    4 years ago

    This is key and unique information for us that we are in attachment.
    Thanks

    rgds
    ID

    ReplyCancel
    • Linda Kariuki
      4 years ago

      Hi Derick, we are glad you find the information helpful, its the whole idea. We appreciate the feedback.

      ReplyCancel
  114. erico
    4 years ago

    penalties for non/late payment of payee is how much?is it 20% of the amount due and remaining unpaid or
    25% of amount due or ksh10000 which ever is higher .so which is which?

    ReplyCancel
    • Linda Kariuki
      4 years ago

      Hi Erico,
      Different penalties apply for different cases. For non/late payment of PAYE, 20% penalty charged once plus 2% per month on any amount that remains unpaid at any one time.
      The penalty of 25% of the amount of tax involved or Kshs. 10,000, whichever is greater is levied in cases where the employer fails;-
      - to deduct tax upon payment of emoluments to an employee
      - to account for tax deducted (on or before the 9th of the month)
      - to supply the Commissioner with a certificate prescribed under PAYE Rules.

      ReplyCancel
  115. Komba Joseph
    4 years ago

    The information came in handy when I was looking for a way out. Thank you.

    ReplyCancel
    • Linda Kariuki
      4 years ago

      Hi Joseph, Thank you for the feedback and keep me reading for more updates. Regards.

      ReplyCancel
  116. donald
    4 years ago

    the excel file downloaded is not complete and it contains errors

    ReplyCancel
    • Angela Nzioki
      4 years ago

      Hi Donald, in my experience I get errors when I actually try fill out the excel sheet and miss a few things here and there. The errors only lead you to wherever you have made mistakes. However, if the excel sheet you have is faulty to begin with, I would suggest you login back in and download a fresh one. Maybe this would help. Let me know...

      ReplyCancel
      • Martha Kilakoi Tompoya
        2 years ago

        Am trying to file VAT returns but its giving me the followin error:PLEASE DECLARE THE WITHHOLDING CERTIFICATE NUMBER..........

        ReplyCancel
        • Angela Nzioki
          2 years ago

          Martha, unfortunately we have not had that issue ourselves so we don't have any experience to share on this matter - you should consult KRA or a tax-expert.

          ReplyCancel

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