Tech firm revolutionises eTIMS tax compliance with system-to-system integration

A technology solutions provider has announced its proactive role in simplifying the transition to the Kenyan Revenue Authority's (KRA) electronic tax invoice management system (eTIMS).

With a vision to make tax compliance seamless, DigiTax has unveiled a solution to empower businesses to meet the eTIMS requirements efficiently and effectively.

DigiTax streamlines eTIMS compliance, making the transition easier for Kenyan businesses.

The eTIMS initiative by the Kenyan Government marks a pivotal shift in tax administration by replacing outdated systems like electronic tax registers (ETRs) and the earlier Tax Invoice Management System (TIMS).

This modernization initiative aims to enhance tax collection mechanisms, fostering better fiscal growth and resource allocation in Kenya.

DigiTax CEO and Founder Caine Wanjau said through their platform, businesses can seamlessly onboard onto the KRA eTIMS platform.

"This will eliminate the complexities and limitations posed by traditional hardware-based systems," Wanjau said.

Wanjau said the firm's innovative approach ensures full compliance, offering transparency and reliability while easing the burden of transitioning to this transformative system.

"DigiTax guarantees easy, fast, simple, and stress-free invoicing,” Wanjau said. 

Despite the critical role of tax revenues in driving socio-economic development, Kenya has faced challenges in achieving optimal VAT compliance, with only 50 per cent of VAT-obligated businesses compliant as of 2022, as reported by the KRA.

The advent of eTIMS opens doors for enhanced tax administration, creating an opportune moment for tech-driven solutions.

The Finance Act 2023 heralded a significant shift, mandating the adoption of eTIMS by all VAT-registered taxpayers, signalling a crucial phase in Kenya's tax landscape.

Wanjau said the firm recognises the transition as a unique opportunity to bridge the gap between businesses and KRA, serving as a vital conduit for streamlined tax compliance.

“With the March 31, 2024 deadline fast approaching, DigiTax stands as the premier solution for non-VAT obligated businesses seeking a smooth transition to eTIMS," Wanjau added.

"Our user-friendly and affordable software enables real-time transmission of electronic tax invoices, accessible across multiple electronic devices, ensuring ease and flexibility for businesses of all sizes. Our solution caters to businesses trading goods and services.”

He said DigiTax's commitment to providing robust, user-centric solutions positions it as a catalyst for driving enhanced tax compliance in Kenya.

DigiTax aims to empower businesses to embrace the eTIMS platform seamlessly by offering an intuitive interface and comprehensive support.