The Kenya Revenue Authority (KRA) has ramped up its efforts to enforce the adoption of the electronic Tax Invoice Management System (eTIMS) across the petroleum sector.
They have issued a public notice to all fuel stations that have yet to comply. The move is a critical step that directly impacts taxpayers planning to claim fuel expenses in their upcoming 2025 tax filings.
The KRA’s reminder focuses on the mandatory implementation of the eTIMS Fuel Station System across all petroleum product retail outlets. This specialized system is designed for the fuel sector, enabling seamless, real-time invoicing for every transaction by integrating directly with the station’s forecourt controller and existing point-of-sale systems.
While the initial compliance requirement was set for June 30, 2025, the Authority has now set a hard line for enforcement. Retailers who fail to comply by 31st December, 2025, will face enforcement measures as provided for under the law.
The notice serves as a final call, signaling that the Revenue Authority is prepared to take decisive action against non-compliant businesses to ensure accuracy and efficiency in tax reporting.
The KRA’s push for full eTIMS integration directly affects how businesses and individuals claim fuel expenses. For a fuel cost to be accepted as a deductible expense in the 2025 tax returns, taxpayers must hold valid electronic tax invoices.
The message is clear: If you intend to claim fuel expenses as deductible in your filings, you must confirm that the station you frequent is issuing an eTIMS invoice every time you go to the pump. The widespread implementation is essential to validate these claims, making the integrity of the 2025 tax returns heavily reliant on the successful transition of all fuel retailers.