KRA to Monitor Mobile Phones for Tax Compliance Starting January 2025

The Kenya Revenue Authority (KRA) will begin monitoring all locally assembled and imported mobile phones sold in Kenya from January 1, 2025, to ensure tax compliance. The new regulations, announced by the Communications Authority of Kenya (CA), will require manufacturers, importers, retailers, and mobile network operators to upload the International Mobile Equipment Identity (IMEI) numbers of devices assembled or imported after November 1, 2024, into a KRA portal.

Local phone assemblers and importers must submit IMEI numbers to the KRA for registration in the National Master Database of Tax-Compliant Devices. Retailers will be mandated to sell only compliant phones, and mobile operators such as Safaricom, Airtel, and Telkom will only connect devices verified as tax compliant through a whitelist provided by the KRA.

Non-compliant devices will be "grey-listed" and given time for regularization. If not, they will be blacklisted. Existing devices already in use by October 31, 2024, will not be affected by these new regulations.