Tax Consultancy Services
- September 24, 2022
- Posted by: admin
Tax consultancy service
Tax consultancy services Kenya is a service that is provided experienced professionals with training in law, accounting, financial analysis, etc. At the same time, they are drawn from areas such as accounting, and tax consultants in Kenya train to deal with tax planning, computation, and filing. They perform the vital role of helping you plan your taxes, comply with tax rules and regulations, file your tax returns, reduce your tax liability and generally ensure that you are fully prepared whenever tax season rolls around.
What We Do:
Tax Planning consultancy services
Tax planning is analyzing a financial situation or plans to ensure that all elements work together to allow you to pay the lowest taxes possible. We guide our clients through the process of tax planning, whose aim is legal to reduce the firm’s tax liability by using a mix of tax strategies while efficiently and optimally utilizing the available resources.
Our dedicated team of tax consultants in Kenya plays a vital role by:
- Keeping track of industry trends and changes in the tax environment
- Determining tax savings and recommending strategies to improve profits
- Evaluating tax regulations and suggesting policies that diminish the tax burden
- Ensuring that the laid down tax structures minimize the occurrence of tax disputes with tax authorities
- Ensuring that the clients engage in activities that have tax incentive that in turn reduces the tax payable
Our tax planning strategies fall into one of the following categories:
- Permissive tax planning; is tax planning under various provisions of the taxation laws. In this, we use measures such as tax deductions, tax incentives, tax reliefs, and exemptions to save on taxes.
- Purposive Tax planning; in this, we use tax planning strategies with a particular objective in mind. It aims to ensure maximum benefit and optimal output from an investment.
- In long-term tax planning, we developed tax measures adopted at the beginning of a financial year. The impact of the criteria does not occur immediately but after a long period.
- Short terms tax planning
Tax Disputes Resolution
Tax consultancy services in Kenya were designed and implemented to deter tax disputes. Our team of professionals will help you prevent tax disputes by identifying and mitigating possible risks that may result in tax disputes. In the current world, tax disputes, tax investigations, and tax audits are almost inevitable. They are influenced by constant pressure on tax authorities by their respective governments to increase revenue collection and meet set targets.
In some instances, non-compliance with the tax laws may also prompt a tax audit to ascertain the accuracy of the declared transactions.
In Kenya, tax disputes may arise due to:
- Kenya Revenue Authority issued a tax assessment. The tax assessment is a result of in-depth audits or discrepancies noted through routine checks
- A difference of opinion in the interpretation of tax laws
- Malicious actions by a KRA representative or representative of the firm
- Discrepancies between corresponding VAT transactions declared by sellers and buyers
- Classification of allowable and disallowable expenses in annual Income Tax returns, among others
With our comprehensive understanding of taxation, tax procedures, and laws, we handle each tax dispute according to the facts of the case. We specifically help our clients in the following ways;
- Handling all queries raised by the Tax Authorities on behalf of the client
- Raising objections with the Commissioner against tax assessments
- Lodging appeal with the Tax Appeals Tribunal (TAT), in instances where they confirmed the objection decision
- Applying to settle the matter through Alternative Dispute Resolution (ADR). We engage the tax authorities through the whole process of the ADR
- If we fail to reach an amicable agreement at the ADR, we further pursue the case at the TAT to push for a favorable outcome or ruling
- If we are unsatisfied with the decision, we appeal to the High Court and finally to the Court of Appeal if we are dissatisfied with the judgment of the High Court
- If the verdict mandates our clients to settle the tax liability in query and are satisfied with the decision, we make an application for a flexible and favorable payment plan in installments
Tax Compliance Consultancy Services
Tax compliance is being aware of and observing the tax laws and requirements set by the government and tax authorities of a country/state. Non-compliance with the tax law has attracted penalties, fines, and interest. We ensure that our clients are aware of and observe all the tax laws for all their tax obligations promptly and efficiently. Our tax compliance services not only simplify the complexities and uncertainties surrounding taxation as a whole but are also crafted to enable the mitigation against any potential tax exposure.
Our dedicated team of tax consultants in Kenya experts helps our clients:
- Monitor and navigate changes in tax laws, regulations, and reforms
- Compute and submit taxes owed by the tax authorities
- Ensure that tax payments are on time
- Interpret and understand tax laws and regulations
- Keep track of industry trends and changes related to taxes
- Assist our clients in securing refunds where applicable in case they have paid excess taxes
- Facilitate acquisition of Tax Compliance Certificates (TCC) from tax authorities
- Registration and deregistration of varied tax obligations with relevant tax authorities
- Application for the dormancy of tax obligations if the company is no more extended trading and subsequent reactivation of the tax obligations when the company starts trading
- Negotiation of favorable payment plans for pending tax liabilities with tax authorities
- Application for waiver on penalties and interest based on reasonable grounds
Tax Review and Health Checks
In the current economy, with the regular tax amendments and volatile tax environment, companies need to carry out periodic tax reviews to mitigate any tax-related risks. We carry out due diligence high-quality tax reviews as of a particular date and give a report of our findings on the tax exposure and troubles brought forthwith by computing the outstanding principal tax, penalties, and interest where applicable.
2Max Group tax review services aim at:
- Assessing, identifying, and quantifying possible tax risks and tax inefficiencies
- Providing possible measures to mitigate against tax risks
- Providing solutions to solve any tax issues
- Make recommendations on adjustment, maintaining, or introduction of tax strategies
- Identify tax-saving opportunities
- Improve business and operational efficiency
- Meet compliance obligations
Our tax reviews and health checks can target specific types of taxes or tax obligations (such as VAT, Income Tax, Rental Income, local taxes, or international taxes). A business is liable for detailed ledgers or transaction accounts such as payroll records or a full scope review of different taxes.
Benefits of Tax Consultancy by 2Max Group
- Time savings: Depending on whether you are an individual or an organization and taking into account factors such as the size of your organization, your tax bracket, and many others, it may take you as little as a day or as much as a month to fill your returns. This can eat into the time you need to carry out day-to-day business activities and affect productivity. Delegating the task of compiling and filing your returns helps to free up time and gives you the peace of mind that comes with knowing that professionals are handling your taxes.
- Reduced tax liability; Certain individuals and organizations qualify for exemptions under Kenya’s taxation laws. These include; persons with disabilities, businesses importing food or medical supplies during famines or shortages, and many others. Using a tax consulting service means you can find out which exemptions you may qualify for, and you may find your tax liability reduced significantly.
- Fewer mistakes/penalties; Tax consultants are well versed in laws, regulations, policies, and procedures governing taxation. As a result, they can help you compile and file your taxes correctly to avoid penalties.
- Better financial planning. Many tax consulting companies like 2Max Group are also qualified, business consultants. We can advise you on how to manage your finances better, plan your taxes to save on costs, and improve your bottom line.
Preparing your taxes can be like cooking for yourself. You won’t get food poisoning, but you’re also not getting the most out of your ingredients. If cooking is your passion, you may