With a deep understanding of the ever-evolving tax landscape in Kenya, we offer a wide range of tax legal services designed to help you and your business achieve your financial goals while ensuring compliance with applicable tax laws and regulations.

Our experienced tax lawyers provide expert advice and guidance in areas such as:

1. Tax Planning and Advisory: We work closely with businesses and individuals to develop effective tax strategies that optimize tax efficiency, minimize tax liabilities, and maximize savings. Our team stays up-to-date with the latest tax laws and regulations to provide you with accurate and timely advice tailored to your unique circumstances.
2. Tax Compliance: We assist businesses and individuals in meeting their tax compliance obligations, including filing tax returns, preparing financial statements, and ensuring compliance with reporting requirements. Our meticulous approach helps you avoid penalties and navigate the complexities of tax compliance with ease.
3. Tax Disputes and Controversies: In the event of a tax dispute or controversy, our skilled litigators provide strong representation to protect your rights and interests. We have extensive experience handling tax audits, investigations, appeals, and negotiations with tax authorities. Our goal is to achieve favorable resolutions and minimize any adverse impact on your financial standing.
4. International Taxation: For businesses engaged in cross-border transactions or individuals with international tax concerns, we offer specialized guidance on international tax planning, transfer pricing, double taxation treaties, and foreign tax compliance. We help you navigate the complexities of international taxation to ensure compliance and optimize tax efficiencies.
5. Tax Incentives and Exemptions: Our team is well-versed in identifying and maximizing available tax incentives, exemptions, and deductions. We assist businesses in leveraging government programs and incentives to reduce their tax burdens and promote growth.
6. Estate and Succession Planning: We provide comprehensive estate and succession planning services to individuals and families, helping them preserve and transfer wealth in a tax-efficient manner. Our personalized approach considers your unique circumstances and objectives to develop tailored estate plans that protect your assets and minimize tax liabilities.

When you receive a demand notice from the Kenya Revenue Authority (KRA), it is important to take prompt action to address the situation. Here are the steps you can follow:

1. Review the Notice: Carefully read and understand the contents of the demand notice. It will specify the nature of the tax liability, the amount owed, and the period for which the tax is due. Ensure that you have accurate information about the tax assessment and the reasons provided by the KRA.

2. Verify the Accuracy: Verify the accuracy of the demand notice by comparing it with your tax records and supporting documents. Look for any discrepancies or errors that may have led to an incorrect tax assessment. If you believe there are errors, gather the necessary evidence to support your position.

3. Seek Professional Assistance: Consider engaging a tax lawyer or tax consultant who specializes in tax dispute resolution. They can provide expert advice, review your tax records, and guide you through the process. They will also represent your interests in dealing with the KRA.

4. Respond within the Timeline: The demand notice will specify a timeframe within which you must respond. Ensure that you adhere to the given timeline. Failing to respond within the deadline may lead to further penalties or legal consequences.

5. Prepare a Response: Prepare a formal response to the demand notice. Clearly outline your objections or reasons for disputing the tax assessment. Include any supporting documents, such as financial records, invoices, or receipts, that can substantiate your claims. It is essential to provide a well-documented and reasoned response to strengthen your case.

6. Engage in Communication: Maintain open and respectful communication with the KRA. Respond promptly to any additional information or queries they may require. Cooperating and providing relevant information can facilitate the resolution process.

7. Seek Dispute Resolution: If you are unable to reach a resolution through communication with the KRA, explore alternative dispute resolution mechanisms. This may involve engaging in mediation or arbitration to settle the dispute. A tax lawyer can guide you through the process and represent your interests during the dispute resolution proceedings.

8. Payment or Negotiation: If you agree with the tax assessment, it is advisable to pay the outstanding amount within the specified timeline to avoid further penalties or legal actions. However, if you believe the tax assessment is incorrect, negotiate with the KRA to reach a resolution that is fair and acceptable to both parties.

Remember, addressing a demand notice from the KRA requires careful consideration and professional guidance. By seeking assistance from tax professionals and engaging in proactive communication, you can navigate the process effectively and protect your rights.

When running an international business in Kenya, several taxes may apply depending on the nature and activities of your business. Here are some key taxes to be aware of:

1. Corporate Income Tax (CIT): This tax is imposed on the profits earned by a company in Kenya. The current standard rate for CIT is 30% of taxable income, although certain sectors may have different rates or tax incentives. It is important to comply with the filing and payment obligations as stipulated by the Kenya Revenue Authority (KRA).

2. Value Added Tax (VAT): VAT is a consumption tax levied on the supply of goods and services. The standard VAT rate in Kenya is 16%, with some goods and services being exempt or zero-rated. VAT-registered businesses are required to charge, collect, and remit VAT to the KRA on their taxable supplies.

3. Pay As You Earn (PAYE): If your business employs staff in Kenya, you will be required to deduct and remit income tax from their salaries through the PAYE system. The rates and thresholds for PAYE are determined by the KRA, and employers are responsible for ensuring compliance with the tax obligations related to their employees’ income.

4. Withholding Taxes: When making payments to non-resident individuals or entities, certain payments may be subject to withholding taxes. These include dividends, interest, royalties, and fees for technical or professional services. The rates and requirements for withholding taxes are specified in the Income Tax Act, and it is the responsibility of the payer to withhold and remit the tax to the KRA.

5. Customs and Excise Duties: If your business involves importing or exporting goods, customs duties and excise taxes may apply. Customs duties are imposed on imported goods based on their value and classification, while excise duties are levied on specific goods such as tobacco, alcohol, and petroleum products. Compliance with customs and excise requirements is essential for international trade operations.

6. Capital Gains Tax (CGT): Capital gains tax is applicable when there is a transfer of property or assets that results in a gain. The current CGT rate in Kenya is 5% for residents and 20% for non-residents. Specific exemptions and provisions may apply, and it is important to consult with tax professionals for proper guidance.

These are some of the key taxes that international businesses may encounter while operating in Kenya. It is crucial to engage with tax professionals who can provide specialized advice tailored to your business activities and help ensure compliance with the tax laws and regulations in Kenya. The Kenya Revenue Authority (KRA) is the primary regulatory body responsible for administering and enforcing tax laws in the country.