KRA nets Sh130b in July amid rising cost of living
By John Otini, August 22, 2022Kenya Revenue Authority (KRA) has sustained its record-breaking revenue collection streak, netting Sh130.6 billion in tax revenue in July 2022, of which Sh83 billion was used to pay debt.
The revenue collected in July 2022 is up Sh9 billion when compared to Sh121 billion in the same period last year. At the same time in 2020, the taxman collected Sh94 billion, indicating a growth of nearly Sh40 billion in one month’s revenue collection.
The record revenue growth comes at a time when Kenyans are under pressure with high cost of living caused by high fuel prices and food prices alongside heavy taxation.
However, at the same time, the government spent Sh83 billion of the Sh130 billion collected to pay debt.
From the same collection, Sh22 billion was sent to county governments as part of the equitable share allocation.
“The county allocation of revenue Act 2022 provides for equitable share allocation to counties of Sh370 billion,” Treasury Cabinet Secretary Ukur Yatani said in a gazette notice. “The county government’s additional allocation Bill for 2022/23 provides for conditional allocations from national government revenue of Sh5.6 billion and conditional allocations from loans and grants of Sh32 billion, the Bill is under consideration in Parliament,” the CS said.
Increased corporate, payroll, and value-added tax collections during the fiscal year that ended in June 2022 helped KRA surpass its revenue collection target by Sh148.9 billion.