Tax Payment Plan
Installment tax is estimated income tax paid to KRA periodically, in anticipation of the tax payable for a year of income. Installment tax is a form of advance tax administered under the Income Tax Act Cap 470, laws of Kenya. Installment Tax is paid in advance at four equal installments. It is paid before the year of income is over and before the accounts of the business are prepared to establish the actual tax payable.
- It is payable by every person subject to tax (individuals and non-individual)
- Installment taxes are not payable by persons who are subject to Turnover Tax (TOT)
- Installment taxes are paid by individual taxpayers who have a tax liability, that is not fully covered under PAYE, of over Kshs. 40,000 payable for any year.
- Projection is normally done at the beginning of the financial year. While projecting the annual tax liability, the expected withholding tax for the year is netted off in arriving at the net estimated tax liability to use in determining installment taxes payable.
Applying for a Tax Payment Plan
Uptick Technologies ensures all the hustle required for the document to be issued are met.