In this tutorial, we are going to look at how to register for a new PIN(Individual)
NB: The only mandatory sections are those with an asterisk.
The following is the process step by step:
- Open an internet browser and use this link to open itax https://itax.kra.go.ke/KRA-Portal/
- Next click on new PIN registration
- On the page that opens, select taxpayer type. To register a person’s PIN select individual. To register a company/partnership, select non-individual.
- The next step is the mode of registration. You can either use an online form or upload form. For online form, you fill in the details online and submit. But for form upload, you download an excel form, fill it and then upload it to itax.
Note that the details to fill are the same for either online form or upload form. Let us look at the sections that are supposed to be filled.
- To use either method, in step 4 above, specify the mode of registration as required and click next.
- The form that opens online or /(excel form that opens after downloading if you use form upload) has five sections:
- Section A -Basic information
- Section B –Obligation details
- Section C –Source income details
Section C applies to individual’s PIN registration.
- Section D –Director associates(This section applies to non-individual PIN registration)
- Section E –Agent details
Let us look at how you fill each section for individual PIN registration.
Section A : Basic Information
- Citizenship :Select Kenyan or non –Kenyan as appropriate.
- Profession: Select your profession. If your profession is not listed select others, and fill in your profession in the “other profession” section.
- Fill in all other details including the contact details, including the primary email address.
- Alternative address, select “Yes” or “No” accordingly. But to avoid complications select “No”.
- Bank account details. If you wish to declare bank account details, select “Yes” otherwise select “No”
- Partner/Director of other company –if you are a partner/director of another company select “Yes” otherwise select “No”
- Tributary bonds- if you wish to declare relationship with another taxpayer, select “Yes” otherwise select “No”
Section B : Obligation Details
In this section, you declare your tax obligations and the date of registration, unless otherwise indicated use PIN registration date as the obligation registration date.
Types of obligations
- Income tax resident –this is usually the basic obligation for Kenyan residents.
- Income tax non-resident- this is applicable only to non –residents
- Income tax PAYE –if you have employees, who you deduct PAYE, select this obligation in order to be filling the PAYE returns
- VAT –if you are dealing with vatable goods, then you need to select this obligation. If you have a turnover of Kshs 5million or above over a period of 12 months, then the law makes it mandatory for you to register for VAT. However, the VAT Act provides for voluntary VAT registration even if you do not meet the Kshs 5million threshold. The VAT rate in Kenya is 16%.
- Turnover tax –if you do not meet the Kshs 5million threshold for VAT, and you do not wish to register voluntarily for VAT, then you need to register for turnover tax. The rate of turnover tax is 3% on monthly sales.
The other section under obligation details is turnover details. Here you indicate the turnover amount for the last three years, and estimated turnover next year. The estimated turnover for next year is the only mandatory field in this section.
Section C :Source Income Details
Here you indicate your sources of income.
- Employment income –if you are employed, select “Yes” and fill in the employers PIN, otherwise select “No”
- Business income –if you have a business income, select “Yes” and fill in your business details as needed. Otherwise select “No”
- Rental income –if you have rental income, select “Yes” and fill in the needed details. Otherwise select “No”
Section E :Agent Details.
In this section, you fill in your agent details. This section is not mandatory.
However, if you wish to declare a party who will be doing returns on your behalf, you should fill in the agent’s PIN and the authorization date from and to.
This is usually the last section to fill. Once you are through, just countercheck that the details filled are correct. Once this is done, click on submit and wait for the response.
Please note that the PIN approval and allocation takes a few days. All communications from KRA regarding PIN approval and any other issues are communicated through the primary email address that you provided during registration. Therefore keep checking your email address for updates.
NB: Please note that for PIN’s that were registered before itax, the process of updating the PIN is similar in most sections, except the initial stage where you do not click on register new PIN, but rather enter your PIN in the login screen. When you click on continue, you get a notification indicating that you PIN is not updated. Just click on update PIN, and the process is now the same as registering a new PIN, where you fill in all the relevant sections.
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