PUBLIC SECTOR REFORMS AND TAX ADMINISTRATION BY KENYA REVENUE AUTHORITY IN NAIROBI CITY COUNTY

Abstract

This study looked at the Kenya Revenue Authority's (KRA) public sector reforms and tax administration in Nairobi City County. It attempted to address Several different goals: ascertain the effect of the payment plan method introduced by KRA on tax administration within Nairobi City County; analyze the influence of PIN issuing practices by KRA on tax administration in Nairobi City County; and investigate The impacts of Tax Invoice Management procedures on tax administration within Nairobi City County by KRA, and analyze the repercussions of tax waivers on tax administration within Nairobi City County by KRA. Guided by the Theory of Constraints and Agency concept, this study took a descriptive research design with a sampling approach tailored to the study population and variable relationships. The problem discussed in this research centers on the efficacy and impact of tax administration strategies employed by the KRA within Nairobi City County. Specifically, it focused on assessing the effectiveness of various methods such as payment plans, PIN issuance practices, Tax Invoice Management procedures, and tax waivers in facilitating efficient tax collection and compliance. These aspects are crucial for enhancing revenue generation, promoting fiscal sustainability, and ensuring equitable tax distribution within the county. Data was sourced from documented work and KRA yearly reports stored in the institution's library, supplemented by interviews with key stakeholders involved in tax administration and reform processes. The study population comprised 94 employees from the large taxpayer’s office within the Kenya Revenue Authority compliance department, holding various positions including senior managers, managers, subordinate managers, supervisory team, and officials. Inferential statistical analysis including correlation coefficients, determination coefficients for model suitability, synthesis of deviation (ANOVA) for possibility significance, and regression modeling, facilitated by SPSS software was utilized to analyse the collected data. Thematic complemented data analysis and be organized about a conceptual framework distinguishing reform contexts, processes, and arenas. This comprehensive approach ensured a nuanced understanding of the dynamics shaping tax administration and reform initiatives in Nairobi City County.