Category: Taxation

Receiving a notice that you are getting an audit from the tax authority can wrack your nerves, whose nerves wouldn’t fray? but at the end of the day, an audit is nothing more than an in-depth fact-checking exercise. Below are some few pointers that may invite the tax man to closely review your business affairs: A common pitfall is variance between sales declared under VAT and sales declared under income tax (particularly where you have under declared income against withheld income tax credits) Another simple pitfall is discrepancy on aggregate salaries and wages declared on the PAYE returns against the salaries and wages filed on the income statement of the annual tax file. Applications for cancellation of a tax PIN and company deregistration; is everything ok, are you trying to…

Staying ahead of the curve with taxes continues to challenge businesses, especially with the changes in tax laws. Complex tax laws demand highly knowledgeable professionals. Tax planning should take place all year round not just before tax deadlines. We help your business get the attention it needs to assure you of a strategy that will yield the best possible outcome, minimizing your tax obligation with every allowable deduction and an eye to the future of your business. Why you need a tax consultant There are many reasons why you may need the help of a tax consultant. Here are six key reasons: To maximize your deductions: A tax consultant can help you take full advantage of the deductions available to you, ensuring that you pay as little tax as possible. To…

It is an open secret that a penny saved is a penny earned. Taxes are a necessity; you don’t want to spend any more than you have to on taxes. The key to balanced living is to carry out a budgeting process and come up with a spending plan; the same goes for minimizing your tax bill. Tax planning explained Tax planning is the process of understanding how specific tax items relate to your organisation throughout the year, after which you determine how to act on those items in the most tax-efficient manner. The goal of tax planning is to decrease the overall amount of money you pay in taxes to the KRA. The process helps reduce cash outflow and keeps more money in the business coffers. What to consider…

If you’re in business, then you’ve probably heard of the term “transfer pricing.” But what is it, exactly? And more importantly, how can you make sure that your company is doing it right? In this blog post, we’ll answer all of those questions and more. What is transfer pricing? In short, transfer pricing is the price that a company charges for goods or services sold to another company within the same group of companies. It’s an important tool for businesses because it allows them to accurately reflect the true market value of those goods and services. This, in turn, helps ensure that profits are fairly distributed among all of the companies involved. Transfer pricing, or the pricing of transactions between affiliates in different tax jurisdictions—also known as intercompany pricing—presents both…

Tax health check or Tax due diligence is a comprehensive examination of the different types of taxes that may be imposed upon a particular business. This may include a review of all applicable types of taxes such as sales/ value-added tax, excise tax, customs duties, employee tax and other specific taxes applicable to the target company. Tax due diligence is of two types – seller’s side and buyers side. A seller’s side due diligence is conducted by the target company in an attempt to recognize and remedy any major tax exposure before inviting prospective buyers. A buyer’s side due diligence is when the buyer wants to recognize the target company’s tax exposure before making the buying decision. Elements of tax due diligence Tax ComplianceTax compliance means submitting a tax return…