KRA introduces online alternative dispute resolution sessions

Kenya Revenue Authority (KRA) has introduced online Alternative Dispute Resolution (ADR) sessions to safeguard taxpayers during the Covid-19 pandemic.

According to a statement sent to media houses, KRA has continued establishing measures to support taxpayer access to all essential services online.

“The ADR sessions can now be held, uninterrupted through virtual facilities. The facilities bring together the taxpayer, the assessing Commissioner and a facilitator who chairs the session as would happen in a face to face ADR session,” read the statement signed by Deputy Commissioner for Tax Dispute Resolution Risper Simiyu.

“KRA can now connect with taxpayers and their agents from the comfort of their offices or homes through video/teleconferencing technology applications such as Zoom, Skype or Google hangouts to ensure business continuity, whilst keeping the safety and security of these platforms in mind,” Simiyu said.

ADR was rolled out in June 2015 to complement litigation by providing amicable and timely settlement of tax disputes.

Since its roll-out, ADR has seen an increase in efficient and amicable settlement of disputes.

“The 2018/2019 financial year saw the sharpest spike in ADR applications where 502 applications were received. Of the 502 applications received, 237 cases with a revenue yield of Ksh 8.1billion were successfully resolved,” Simiyu observed.

According to her statement, this was a phenomenal improvement compared to the 2017/18 Financial Year where 90 cases were resolved with a yield of Ksh 3 billion.

An analysis of the number of resolved cases in the two financial years indicates an increase of 147 cases, which translates into a 263 per cent increment.

The increase in the number of applications and resolution rate indicates that ADR has increasingly gained acceptance, traction and public confidence thereby becoming a preferred avenue for tax dispute resolution.