Communication Authority DG Warns of The Implication of Non tax compliant Phone in the New KRA Directive

CA Director General 

Shortly after the Kenya Revenue Authority informed all mobile device importers and travelers to declare their International Mobile Equipment Identity (IMEI) numbers at customs, the Director-General of the Communications Authority (CA), David Mugonyi, has clarified the consequences of not following the directive.

In a declaration on Thursday, November 7, Mugonyi addressed the National Assembly’s Committee on Communication, Information, and Innovation, led by Dagoretti South MP John Kiarie, where he elaborated extensively on the rationale for the new order and its implications.

Mugonyi observed that the system is intended to notify users who turn on a new device without having settled the relevant taxes. Unregistered IMEI devices will subsequently be added to a blacklist, hindering them from connecting to any local network until taxes are paid, he disclosed during a meeting with MPs.

Tetu MP Geoffrey Wandeto expressed worries regarding the impact of the system on expatriates and visitors, contending that individuals’ freedom of movement should not be restricted.

“What effect will this have on expatriates or those returning for brief visits?” “We must enable the movement of individuals and their devices,” he suggested.

Mugonyi assured the Committee that there would be a grace period for tourists and diplomats, during which their devices would be temporarily greylisted to enable usage without immediate requirements.

“He mentioned that this greylisting phase will be established via public engagement to promote transparency and comprehension.”

“What can we tell Kenyans who might abandon digital transactions to escape scrutiny?” “We need to guarantee that their data stays secure.” He requested.

In his reply, Mugonyi explained that the IMEI system will not track mobile phone transactions. He emphasized that the action is solely intended to guarantee that the appropriate products reach the market and that they comply with tax regulations.

“This engagement has nothing to do with the transactions we carry out on our phones,” he clarified, adding, “We want to ensure the right products are in the country, and the tax compliance aspect is strictly for that. KRA will not have access to people’s data,” Mugonyi assured the country.

Moreover, Mugonyi dispelled fears maintaining that mobile devices registered on Kenyan networks before October 31, 2024, will be exempted from compliance checks.

He made clear that current users will not face disruptions.
“The system is only targeting new mobile devices that will connect to local networks for the first time post-October 31. Previously registered devices will be considered tax compliant,” he stated.