Content

 CONTENTS

THE VALUE ADDED TAX ACT, 2013

PART 1 –PRELIMINARY.

• 1. Short title and commencement
• 2. Interpretation

PART II – ADMINISTRATION

• 3. Functions and powers of the Commissioner and other officers(TPA 2nd Sch Para 11)
• 4. Authorized officers to have powers of police officers(TPA 2nd Sch Para 11)

PART III—CHARGE TO TAX

• 5. Charge to tax
• 6. Cabinet Secretary may amend the rate of tax.
• 7. Zero rating

PART IV—PLACE AND TIME OF SUPPLY

• 8. Place of supply of services.
• 9. Appointment of tax representative.(TPA 2nd Sch Para 12)
• 10. Treatment of imported services.
• 11. Place of supply of goods
• 12. Time of supply of goods and services

PART V— TAXABLE VALUE

• 13. Taxable value of supply
• 14. Taxable value of imported goods
• 15. Deemed taxable supply
• 16. Debit and credit note

 PART VI— DEDUCTION OF INPUT TAX

• 17. Credit for input tax against output tax
• 18. Tax paid prior to registration

 PART VII— COLLECTION AND RECOVERY OF TAX

• 19. When tax is due .
• 20. Relief because of doubt or difficulty in recovery of tax(TPA 2nd Sch Para 13)
• 21. Interest for late payment of tax (TPA 2nd Sch Para 13)
• 22 .Imported goods subject to customs control
• 23. Risk of non- payment of tax.(TPA 2nd Sch Para 13)
• 24. Collection of tax by distraint.
• 25. Power to collect tax from (1) person owing money to the registered person
• 25A. Withholding Value Added Tax
• 26. Preservation of funds
• 27. Security on property for unpaid tax
• 28. Tax payable to the Commissioner
• 29. Tax to be recovered as civil debt(TPA 2nd Sch Para 13)

PART VIII— REFUND OF TAX

• 30. Refund of tax paid in error .
• 31. Refund of tax on bad debts
• 32. Erroneous refund of tax
• 33. Fraud in relation to claims for tax refund

 PART IX — REGISTRATION AND DEREGISTRATION

• 34. Application for registration.
• 35. Registered person to display certificate.
• 36. Cancellation of registration.
• 37. Offences relating to registration

PART X — APPLICATION OF INFORMATION TECHNOLOGY 

• 38. Application of information technology 
• 39. Electronic returns and notices 
• 40. Unauthorized access to or improper use of tax computerized system 
• 41. Interference with tax computerized system 

PART XI—INVOICES, RECORDS, RETURNS AND ASSESSMENTS 

• 42. Tax Invoice 
• 43. Keeping of Records
• 44. Submission of Returns
• 45. Assessment of Tax 
• 46. Amendment of Assessment .

PART XII—ENFORCEMENT

• 47. Commissioner may require security 
• 48. Production of Records 
• 49. Power of Inspection etc. 

PART XIII—OBJECTIONS

• 50. Objections 

PART XIV—FORFEITURE AND SEIZURE

• 51. Power to seize goods 

PART XV—SETTLEMENT OF CASES AND RULINGS BY THE COMMISSIONER

• 52. Power of the Commissioner to compound offences by agreement 
• 53. Building public ruling 
• 54. Making a public ruling 
• 55. Withdrawal of a public ruling 
• 56. Binding private ruling
• 57. Refusing an application for a private ruling 
• 58. Making a private ruling 
• 59. Withdrawal of a private ruling 

PART XVI—OFFENCES AND PENALTIES

• 60. Offences by members and staff of the Authority 
• 61. Liability of employers and officers of companies
• 62. Burden of proof 
• 63. General penalty 

PART XVII—MISCELLANEOUS PROVISIONS 

• 64. Effect on imposition or variation of tax
• 65. Application of East African Community Customs Management, Act 2004 
• 66. Tax avoidance schemes 
• 67. Regulations
• 68. Repeal of Cap. 476,transitional and savings provisions .

SCHEDULES 

FIRST SCHEDULE - EXEMPT SUPPLIES 

• PART I - GOODS.
• PART II - SERVICES

SECOND SCHEDULE 2 - ZERO-RATING.

• PART A – ZERO RATED SUPPLIES.
• PART B – ZERO RATED SUPPLIES TO PUBLIC BODIES, PRIVILEGED PERSONS AND INSTITUTIONS 
• PART C.