Technical Circulation on Taxation of Employment Income Finance Act 2016-Income Tax Act Cap .470
This technical circular is issued with amendments to the earlier one dated 3rd November 2015 which was to address county Governments. The legal amendments contained in the Finance Act 2016 affecting payroll Taxes have been highlighted as well.
The circular therefore should serve as a guide for computing and Accounting for PAYE on Renumerations paid to employees by Employers as provided for in Section 3 (2)(a) (ii) of the Income Tax Act Cap. 470 on gains and profits from employment or services rendered.
Download the full circulation below or visit the KRA website for more information.