Moses Kuria Clarifies Statement on Virtual ETRs

Senior Economic advisor Moses Kuria. Photo by Kenyans.co.ke.
By Robert mutasi
Senior Economic Advisor Moses Kuria has come forward to clarify recent media reports surrounding his comments on Electronic Tax Registers (ETRs) made during the Kenya Revenue Authority (KRA) summit.
Addressing concerns raised by the public and the business community, Kuria emphasized that his remarks were not directed at a specific company but were part of a broader industry-wide policy.
Kuria’s statement comes after speculation that his comments on virtual ETRs were aimed at a particular company, sparking uncertainty among businesses.
He was quick to rectify the misunderstanding, asserting that the move would affect all Payment Service Providers (PSPs), including telecommunications companies and banks.
“This is erroneous as I meant all Payment Service Providers, including Telcos and Banks. It’s an industry issue,” Kuria said.
The clarification comes amid heightened scrutiny of Kenya’s tax compliance environment.
Virtual ETRs are being introduced as part of the government’s ongoing push to digitize tax collection and improve revenue streams.
The system allows businesses to issue receipts directly linked to KRA’s online database, ensuring real-time tax monitoring.
In addition to addressing concerns about virtual ETRs, Kuria outlined the government’s commitment to tighten its tax collection efforts, particularly concerning the importation of mobile phones.
According to Kuria, any mobile phone imported into the country that has not fulfilled its tax obligations will be automatically blocked from activation on any mobile network.
This step, he explained, is aimed at curbing tax evasion, ensuring that all electronic devices entering the country contribute to the nation’s revenue.
“We will automatically block any mobile phone imported into the country from activating on any network without having paid the applicable taxes,” Kuria declared.
This measure is part of a broader government strategy to close tax loopholes and increase compliance within the rapidly growing digital economy.
Kuria’s statement signals the government’s firm stance on ensuring tax compliance and cracking down on companies and individuals who attempt to bypass established tax protocols.
The new measures will likely impact importers, retailers, and consumers of electronic goods, requiring strict adherence to the outlined tax regulations.
The Economic Advisor has urged businesses to cooperate with the KRA’s efforts to streamline the tax system and enhance revenue collection through digitization.
As Kenya’s economy continues to expand, particularly in the technology and telecommunications sectors, these measures are expected to play a crucial role in stabilizing the country’s tax base.
The government’s latest move underscores its commitment to fiscal responsibility while reinforcing the importance of fair competition among businesses.