KRA projects a rise in claims for VAT refunds at a time most small firms are facing cash-flow woes.
KRA has over the years struggled to pay the claims, largely due to inadequate cash provided by the Treasury.
The taxman is seeking increased monthly allocations from Treasury to settle a mounting backlog of tax refund claims from businesses grappling with the coronavirus pandemic-related hardships.
Kenya Revenue Authority (KRA) says it has applied for Sh3 billion up from the current Sh1.2 billion allocations amid the backlog and new claims filed for Value Added Tax (VAT) refunds.
