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GESMIA SOLUTIONS LIMITED is one of Kenya's leading professional service firms focused on providing financial advisory, audit and assurance, and tax-related services, with a reputation for integrity, quality, and excellence in management. Our desired expertise is fundamental to the high quality of advice and assistance that we offer. GESMIA Solutions Ltd uses the benefit of its hands-on expertise to provide a strong level of local understanding and support to all our clients. We stand firm on our commitment to provide professional assistance to private companies and public institutions with our first-hand knowledge and expertise within Kenya and internationally.

Introduction The Finance Act 2023 introduced a tax amnesty for interest and penalties on tax debt by inserting Section 37E to the Tax Procedures Act, 2015. The amnesty is applicable to: A person with penalties and interest but has no principal taxes owing for periods up to 31st December 2022; and A person who has principal tax accrued up to 31st December 2022 but pays the outstanding principal tax debt by 30th June 2024. The Finance Act, 2023 also deleted the tax waiver and abandonment provisions hence taxpayers are encouraged to take advantage of the tax amnesty. Purpose These guidelines are issued to taxpayers to guide on the implementation of the tax amnesty. Eligibility All taxpayers who do not have principal tax due for periods up to 31st December 2022 but have penalties and interest due shall qualify for…

1. Income Tax Income tax is a tax charged for each year of income, upon all the income of a person whether resident or non-resident, which is accrued in or was derived from Kenya. Income Tax is imposed on; Business income from any trade or profession Employment income Rent income Dividend and Interests Pension income Income from a Digital Marketplace Natural resource income among others There are different methods of collecting income tax from companies & partnerships, based on their sources of income. These methods include: a. Corporation Tax This is a form of Income Tax that is levied on corporate bodies such as Limited companies, Trusts, and Co-operatives, on their annual income. Companies that are based outside Kenya but operate in Kenya or have a branch in Kenya pay Corporation…