Employers similarly must manage payroll deductions alongside statutory obligations that add to the overall tax burden.

The World Bank’s latest Kenya Economic Update warns that layered levies and opaque administration can create opportunities for bribery.

Frequent changes to rates and rules are especially harmful to small firms, where owners often double as accountants and cashiers.

A small shift of a few percentage points in landed cost can decide whether a product remains affordable for consumers.

Unclear inspection procedures, overlapping fees and delayed refunds can tie up working capital, turning routine compliance into weeks of lost sales.

Industry observers recommend that the National Treasury and Kenya Revenue Authority publish a consolidated schedule of all national fees and levies, with clear purpose and measurable outcomes.

They also call for digital compliance tools that allow easy correction of clerical errors, reliable refund mechanisms and a review of penalties that treat honest mistakes as fraud.

County governments are urged to harmonise licensing procedures where legislation permits, to reduce duplication across sub‑national levels.

The overarching goal, according to the commentary, is to broaden compliance by making the tax architecture coherent, predictable and proportionate to the taxed activity.