Kenya operates under a self-assessment tax regime. This applies for both direct and indirect taxes. Unique to this regime, is that, the taxpayers self-assess their tax liability and make payment on the resultant liability.
A self-assessment tax regime places an onerous and greater responsibility on taxpayers over their tax matters. Compliance with the set parameters of reporting and full disclosure is key. However, there exist pockets of non-compliance and even at times active disobedience in the form of tax fraud and evasion.
