ENHANCING REVENUE MOBILIZATION DURING PANDEMICS THROUGH DIGITALIZATION OF TAX IN KENYA

Abstract

Revenue generation is at the heart of state administration. Governments depend on taxes, rates,
fines, and other financial obligations to raise revenue. However, Kenya is reporting a reduction
in tax revenues, especially from the non-digitalized sectors more especially during the Covid-19
pandemic. The paper sought to find out how revenue mobilization can be enhanced during the
pandemics. The paper utilized secondary materials. The paper concluded that for a country to
enhance revenue mobilization there is need to digitalize its system to effectively collect tax even
during lockdowns and during paandemics. The policy makers need to enhance tax policies and
tax administration measures, to shore up revenue that will foster economic development and
bridge the gap that will arise due to pandemics. There is great scope in using digital technologies
to enhance tax revenue collection. This scope can be widened by using digital technologies to
improve tax compliance and taxpayer services. The proper application of technology also could
reduce tax administration costs by lodging and processing customs documents and integrating
personal bank accounts with the Kenya Revenue Authority.