How to File KRA Returns using P9 Form: Step-by-Step Guide

how to file kra returns using p9 form

How To File KRA Returns Using P9 Form

Introduction

Filing KRA returns can be a daunting task, but with the right guidance, it can be a simple process. In this guide, we will walk you through the steps of filing KRA returns using the P9 form. By the end of this guide, you will have a clear understanding of the P9 form and how to fill it out correctly to submit your KRA returns.

Understanding the P9 Form:

The P9 form is a document used by the Kenya Revenue Authority (KRA) to collect tax returns from individuals. It is used to report income earned during a specific tax year and includes details such as salary, business income, and rental income.

Let’s get started!

Step 1

Visit the Kenya Revenue Authority iTax website and log in with your personal details and click on the “Return” tab then file Returns tab.

On select tab – Choose Residential Income Tax and enter the period of returns.

KRA RETURNS

TAX RETURNS

Step 2

Download the Income Tax Self-Assessment Form by clicking on the “Microsoft Users: Click here”

NB: We recommend you keep the iTax window open, as you will have to return there shortly.

KRA

Step 3

Open the downloaded form and open the sheet “A_Basic_Info” and fill out the following details:

  1. Personal Identification Number: [Your Taxpayer’s PIN]
  2. Type of Return: select “Original” from the drop-down
  3. Return Period From: Will be 1st January of the year you are filing (e.g. 01/01/2020)
  4. Return Period To: Will be 31st December of the year you are filing (e.g. 31/12/2020)

RETURNS EXCEL FILE

Read the preceding questions and answer relevant to your circumstances. If the answer to all the questions is “NO”, please proceed to step 5.

If any of the answers are yes, please contact your local accountant, KRA directly and/or review the guidance on their website.

 Step 4

Go to Sheet “F_Employment_Income” and enter the following details (referenced from your P9 document)

  1. PIN of Employer:
  2. Name of Employer:
  3. Gross Pay: P9 – last row (sum) of Column D – “Total Gross Pay”
  4. January – March income: Add your basic salary as showing in your P9 for the months of January to March 2020
  5. January – March Pension: 600 (or 200 shillings for each month you were at One Acre Fund between that period)
  6. April – December income: Add your basic salary as showing in your P9 for the months of April to December 2020
  7. April – December Pension: 1800 (or 200 shillings for each month you were at One Acre Fund between that period)

MS EXCEL PART F RETURNS

Step 5

Go to Sheet “M_Details_of_PAYE_Deducted” and enter the following details (referenced from your P9 document).

  1. PIN of Employer:
  2. Name of Employer:
  3. Taxable Salary: P9 – last row (sum) of Column H – “Chargeable Pay”
  4. Tax Payable of Taxable Salary: P9 – last row (sum) of Column J – “Tax Charged”
  5. Amount of Tax Deducted (PAYE): P9 – last row (sum) of Column L – “PAYE Tax”

EXCEL FILE PART M

Step 6

Go to Sheet “T_Tax_Computation” and enter the following details (referenced from your P9 document):

  1. Defined/Pension Contribution: P9 – last row (sum) of Column E2 – “Defined Contribution Retirement Scheme”
  2. Personal Relief: P9 – last row (sum) of Column K – “Personal Relief”

Step 7

Please verify the information within the form is all correct and click “Validate” on the bottom of Sheet

“T_Tax_Computation”.

Your Excel Window may freeze for a short while for the validation process to run and for the system to generate your tax return. You will then receive a prompt (as per the image below) to generate an upload file; click “Yes”.

PART T OF MS EXCEL RETURN FILE

VALIDATE EXCEL FILE

Step 8

If the process has completed successfully, you will receive a message as per the image below. Please note the location the file has been saved in (this should, by default, be your “Documents” folder).

Step 9

Return to the iTax window and upload the file you have just generated through the “Choose File” dialog box and navigate to the location where the file is saved.

Check the “Agree to the Terms and Conditions” box; we recommend you read through them before clicking “Submit”.

Step 10

You should receive a page similar to the image below explaining your Return Submission was successful and a “Return Receipt” is generated.

Please ensure you keep a copy of the Receipt for your records.

RETURN

Tax Returns

Filing tax returns is an obligation as a citizen of Kenya. Filing your tax returns before the deadline serves many purposes.

However, paying tax is very crucial as this helps in the smooth running of government affairs. This in turn translates into better public services, and ultimately, better standards of living.

It is a well-kept fact that many people try to go through the steps of not paying tax. Whether they don’t see the need for it or they just are too lazy to do it. But very few people realize the importance of doing tax properly, or what could happen if they don’t.

In this article, we have guided you through the steps of filing KRA tax returns and how important it is for you to pay it on time.

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