The Kenya Revenue Authority (KRA) has issued a detailed directive to guide business owners on how to exit the VAT Special Table and restore their tax compliance status. The announcement offers a critical lifeline for businesses previously blacklisted for failing VAT requirements, effectively halting operations and blocking access to key tax services.
What is the VAT Special Table?
The VAT Special Table is a classification tool used by KRA to monitor and restrict VAT-registered taxpayers who show irregularities in compliance. Being listed means your business profile is restricted—preventing you from filing VAT returns, claiming input tax, or accessing essential tax services.
Common triggers for being listed include:
- Issuing fake or invalid tax invoices
- Claiming VAT from non-existent suppliers
- Participating in missing trader schemes
- Failing to remit VAT collected from clients
This initiative was launched by KRA to clamp down on fraud and seal revenue leaks—but for many businesses, being flagged has led to operational paralysis, hefty fines, and reputational harm.
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How to Get Off the VAT Special Table
KRA is now giving flagged businesses a second chance to regain compliance and resume normal operations. Here’s what you need to do:
Step 1: Visit Your Nearest KRA Tax Service Office
Business owners must physically report to the nearest KRA office and request review and removal from the VAT Special Table.
Step 2: Present the Required Documentation
You’ll need to show evidence of full tax compliance, including:
- Valid TIMS (Tax Invoice Management System) evidence
- Financial statements for the last 12 months
- Sample receipts and/or business contracts
- Updated business contact details (address, phone, email)
- Valid Tax Compliance Certificates for all company directors
- A copy of your business license or permit
- Current CR12 form and company registration certificate
- Copies of directors’ ID cards or passports
Once submitted, KRA officers will assess your case and, if satisfied, remove your business from the restricted list.
How to Stay Compliant and Avoid Being Flagged
KRA is urging all businesses in Kenya to proactively manage their VAT obligations. Here’s how to avoid landing in the VAT Special Table:
- Regularly audit your tax filings and supplier invoices
- Only engage suppliers who are VAT-compliant
- Stay current with VAT payments and ensure proper use of TIMS
- Review compliance status using KRA’s online tools
Businesses found transacting with blacklisted suppliers risk blocked claims and unexpected penalties. Staying informed and vigilant is essential.
KRA Explains How Business Owners Can Exit VAT Special Table & Stay Compliant — and now, the path is clear. Don’t wait until your operations are disrupted. If your business is affected, take action now to clean up your tax profile, regain access to critical services, and operate within the law.
Want help preparing your compliance documents or navigating the process? I can help you draft checklists or even a sample appeal. Just say the word.
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