iKESRA Repository
Find and retrieve publications, range of materials, such as legislation, journal articles, books, theses, and other materials, which are helpful for research and informational purposes, particularly for those with an interest in taxation, customs, and fiscal policy.
Recent Submissions
Dispute Resolution Mechanisms, Trust and Value Added Tax Compliance among Tax Agents in Nairobi County, Kenya
(Kenya School of Revenue Administration, 2025) Ndungu, Nancy; Olweny, Tobias
Taxation serves as a crucial source of government income in nearly all nations, enabling the government to provide public goods and services. As a result, tax compliance is essential for economic stability, with tax revenue playing a key role in national development. The main objective of the study was to investigate the moderating influence of trust on the relationship between tax dispute resolution processes and Value Added Tax compliance among tax agents in Nairobi County, Kenya. Specifically, the study aimed to examine the effect of negotiation, internal reviews, and alternative dispute resolution methods Value Added Tax compliance among these agents. The research was grounded in several theories, including the Theory of Optimal Taxation, Conflict Management Theory, the Unified Theory of Acceptance and Use of Technology, and Social Interest Theory. An explanatory research design was utilized for the study, targeting 321 tax agents in Nairobi County, with a final sample size of 178 respondents. Out of 178 questionnaires distributed, 134 were properly filled out and returned, yielding a 75% response rate. The study relied on primary data collected via questionnaires, which was analyzed using descriptive and inferential statistical methods. A multiple linear regression model was employed to determine the strength of the relationships between the independent and dependent variables. The first objective, which explored the effect of negotiation, found a significant positive correlation with VAT compliance (β = 0.320, p < 0.05). The second objective, focused on internal reviews, also showed a significant positive relationship with VAT compliance (β = 0.009, p < 0.05). The third objective, examining alternative dispute resolution, revealed a similarly positive effect on VAT compliance (β = 0.386, p < 0.05). The fourth objective analyzed how trust moderates the relationship between dispute resolution mechanisms and VAT compliance, showing that trust significantly amplifies the effects of negotiation (β = 0.211, p < 0.05), internal reviews (β = 0.251, p < 0.05), and alternative dispute resolution (β = 0.452, p < 0.05). Additionally, factors such as age (β = 0.235, p < 0.05) and education (β = 0.218, p < 0.05) were found to be positively linked to VAT compliance. The study recommended that the Kenya Revenue Authority (KRA) invest in extensive training programs to enhance the negotiation abilities of tax agents. the government should consider implementing policies aimed at training tax agents in effective negotiation and dispute resolution, by investing in skills development programs for tax agents, policymakers can improve interactions between agents and taxpayers, leading to higher compliance rates. KRA should invest in building trust with taxpayers by making dispute resolution mechanisms accessible and equitable. Ensuring that these mechanisms are transparent, fair, and efficient will reinforce trust, which was found to enhance the impact of negotiation, internal reviews, and ADR on compliance. Future research should explore the influence of the regulatory framework on VAT compliance.
The Moderating Effect of Green Investment on the Relationship between Tax Incentives and Tax Revenue Collection from Companies Listed at the Nairobi Securities Exchange, Kenya
(Kenya School of Revenue Administration, 2025-06) Njogu, Tabitha; Rono Lucy; Chelogoi, Stephen; Olweny, Tobias
This study's main goal was to ascertain how green investment affected the relationship between tax incentives and tax revenue collection from Kenyan companies listed on the Nairobi Securities Exchange. Finding out how corporation tax incentives affect tax revenue collection from companies listed on the Nairobi Securities Exchange, Kenya; how value-added tax incentives affect tax revenue collection from companies listed on the Nairobi Securities Exchange, Kenya; how customs incentives affect tax revenue collection from companies listed on the Nairobi Securities Exchange, Kenya; and figuring out how green investment influences the relationship between corporation tax incentives, value-added tax incentives, customs tax incentives, and tax revenue collection from companies listed on the Nairobi Securities Exchange, Kenya have been the specific goals of the study. The triple bottom line theory served as the study's main theoretical framework. This study, which used an explanatory research approach, examined secondary data gathered over a five-year period from 2019 to 2023 to focus on the sixty-seven businesses listed on the Nairobi Securities Exchange. The Capital Markets Authority's standards for listed firms include the publication of sustainability reports and audited financial reports, which is how the study acquired its data. Correlation and multiple regression analysis were used to analyze descriptive and inferential statistics. Corporation tax incentive has a positive and significant effect on tax revenue collection with β1 = 0.0226592 (p = 0.043 < 0.05). VAT incentives have a positive and significant effect on tax revenue collection with β2 = 0.0093434 (p = 0.011 < 0.05). Customs duty incentives have a positive and significant effect on tax revenue collection with β3 = 0.0000221 (p = 0.000 < 0.05). The study found that green investment moderates the relationship between: Corporation tax incentive and tax revenue collection, with a coefficient of β5 = 0.0000123 (p = 0.010 < 0.05). VAT incentives and tax revenue collection, with a coefficient of β6 = 0.00000881 (p = 0.000 < 0.05). Customs duty incentives and tax revenue collection, with a coefficient of β7 = 0.00000476 (p = 0.004 < 0.05). Recommendations in view of the study's conclusions that tax incentives have a positive impact on tax revenue collections, the Kenyan government ought to think about updating and growing its tax incentives program, especially the ones related to corporation tax, VAT, and customs duty, in order to promote compliance and boost investment. Government incentives for environmentally sound behaviors and investments should be strengthened in light of the moderating influence of green investment on the relationship between tax incentives and tax revenue collection. This can entail providing tax exemptions or other financial incentives to businesses who use eco-friendly products, energy-saving procedures, or recycle their waste. Research recommendations included conducting a study to look into how tax reforms have affected Kenya's ability to collect taxes. One possible course of action would be to carry out research on how digitizing tax systems affects tax revenue collecting.
Effects of Coordinated Border Management Techniques on Trade Facilitation in Kenya
(Kenya School of Revenue Administration, 2023-06) Mutua, Doreen; Kilonzi, Felix
The study aimed at determining the effects of coordinated border management techniques on trade facilitation in Kenya. The specific objectives were to: determine the effects of “One Stop” border post on trade facilitation in Kenya at the Port of Mombasa; establish the effects of Joint Patrols on trade facilitation at the Port of Mombasa; and to determine the effects of joint risk management initiatives on trade facilitation at the Port of Mombasa. The study was anchored on three relevant theories: Technological change theory, Change management theory and Theory of constraints. The study adopted a descriptive research design and targeted 500 officers from various departments including officers from the Kenya Revenue Authority (KRA), Port Health, Kenya Ports Authority, among others at the Mombasa Port. An open-ended questionnaire with containing both structured and semi-structured questions was used to collect primary data. A pilot study was carried out on 11 KRA customs officers that did not form part of target population to test the reliability and validity of the research instrument. The study used Cronbach’s alpha (α) coefficient to test reliability, while face and content validity were used for checking for validity of the research instrument. The primary data collected was analyzed with the use of Statistical Package for the Social Sciences (SSPSS) version 28. Data analysis was conducted using descriptive statistics and inferential statistics by use of moderated multiple regression analysis. The questionnaire was conceived using the type of Likert scale. For a sample target of 150 participants, a stratified sampling method was used and out of 150 questionnaires issued, 120 (80.00%) were dully filled translating to a response rate of 80 percent. Data was coded and entered into SPSS from which correlation analysis was used to evaluate the collected information. Both quantitative analysis and regression analysis were used as a data analysis technique. The information gathered have been executed through different models to obviously highlight the factors that determine the impacts of coordinated border management on trade facilitation. The investigator also used a multivariate regression analysis to determine the relationship between the independent variables and the variable dependent. The study revealed that Joint patrols, Joint Risk Management techniques and One Stop Border Post had significant influence on trade facilitation in Kenya. The results indicated that One Stop Border Post has reduced the clearance time of the cargos hence reducing the cost of doing business in Kenya. The study concluded that Joint patrols, Joint Risk Management techniques and One Stop Border Post influence facilitation of trade in Kenya. The One Stop Border Post had more impact on trade facilitation then followed by Joint Risk Management. The study recommends that Customs administration should adopt the One Stop Border Post to enhance their productivity and profitability. The study established that the adoption of various systems on customs departments had a major effect on traders because custom systems reduce the average lodging time and clearance time of goods. From these findings, there was quick movement of products as a result of the implementation of various customs systems. Thus, the implementation of various border techniques has a major impact on facilitating trade in Kenya.
World Crude Oil price, Domestic Fuel Pump prices and Food price Dynamics : Evidence of Asymmetric Pass through Effect in Kenya
(Kenya School of Revenue Administration, 2023) Mutuku, Cyrus Muthuka
Macroeconomic stability is one of the key policy targets pursued by economic policy makers. One of the important indicators of macroeconomic stability is Inflation measured using the consumer price index. Largely, inflation in Kenya is attributed to soaring food prices or external shocks reflected in world crude oil price. This study therefore sought to understand the dynamic relationship between crude oil prices, domestic fuel pump prices and inflation. The study employed linear and nonlinear Autoregressive Distributed Lag Model (ARDL) to unearth these dynamics. The results reveals existence of asymmetric and symmetric response in pump fuel prices and consumer food prices respectively to world crude oil prices.
Effects of Control Systems on Revenue Collection in Kenya Revenue Authority Customs Administration. A Case Study of Inland Container Depot, Nairobi Kenya
(Kenya School of Revenue Administration, 2023) Yegon, Vincent Kiplangat; Kilonzi, Felix
Ineffective control systems result in ineffective programs and eventually leading to losses, Matata, L. M. (2015). Against this background, this study seeks to determine the impact of the system of controls on revenue collection at the ICD's Kenya Revenue Authority Customs Administration. Current challenges such as fraudulent financial reporting, technological advances, business complexity, economic globalization, and the increasing number of corporate bankruptcies are increasing the interest in effective control systems in organizations. Karagioorgos, T., Drogalas, G, (2010), among many other issues. The primary objective of this study was to determine the effects of the system of controls on revenue collection at the Kenya Revenue Authority Customs Administration at the Inland Container Depot in Nairobi, Kenya. Specifically, the purpose of this study was to determine the impact of the control environment, risk assessment, and control system on the revenue collection of the Kenyan Revenue Service's Customs Administration at a container depot located in Nairobi, Kenya. Researchers have reviewed contingency theory, reliability theory, and control theory. The method of descriptive analysis was applied to this study. The study focused on the 838 key business players at Container Depot. The study's target respondents were government employees, general staff, and clearing agents. Data was gathered by primary data collecting approaches, such as the use of a semi-structured questionnaire. Pearson the independent variables (control environment, risk assessment, control actions) exhibited a very excellent linear connection with the dependent variable revenue collection, as indicated by a correlation value of 0.951. The control environment, risk assessment, and control actions affect 90.4% of the income received at the inland container depot, according to an R-square value of 0.904.
The study recommended that additional research be conducted to determine the effects of control systems on revenue collection in Kenya Revenue Authority Customs Administration at border stations in order to construct a generalized analysis of the effect of control systems on revenue collection in Kenya Revenue Authority Customs Administration at the ICD.