NAIROBI, Kenya — The Kenya Revenue Authority (KRA), in collaboration with the National Treasury, has successfully integrated the Electronic Tax Invoice Management System (eTIMS) with the Integrated Financial Management Information System (IFMIS), in a move aimed at strengthening tax compliance and transparency in government transactions.
The integration is expected to streamline the processing of payments to suppliers doing business with government entities while creating a stronger link between tax compliance and public financial management.
According to KRA, the development marks a significant milestone in the government’s digital transformation agenda and will improve accountability across government payment processes.
eTIMS-IFMIS integration
The new system will enable the automated validation of tax invoices submitted through IFMIS before government payments are processed.
KRA said the integration will ensure that invoices submitted by suppliers correspond with records generated and stored in eTIMS.
This is expected to make it easier for government agencies to verify invoices and identify discrepancies before payments are approved.
“The integration marks a significant milestone in the government’s digital transformation agenda,” KRA said.
By linking the two systems, the government is seeking to create a seamless digital trail from the supply of goods and services to invoice generation and eventual payment.
Suppliers must use valid eTIMS invoices
Under the new requirements, all suppliers doing business with government entities will be required to generate valid eTIMS invoices for goods and services supplied before submitting their invoices for payment through IFMIS.
KRA has also warned suppliers that the information contained in invoices submitted to government agencies must precisely match the invoices generated and recorded in eTIMS.
“Suppliers must generate valid eTIMS invoices for all supplies before submission for payment processing through IFMIS,” the authority said.
The requirement means suppliers will need to ensure that invoice numbers, amounts and other relevant details submitted through the government payment system correspond with their electronic tax records.
Stronger tax compliance checks
The integration is expected to strengthen the government’s ability to identify invoices that do not correspond with a supplier’s tax records.
Previously, invoice processing and tax invoicing could involve separate digital systems. Connecting eTIMS and IFMIS allows government payment processes to incorporate automated tax invoice verification.
The move could therefore improve the detection of inconsistencies while reducing opportunities for suppliers to submit invoices that cannot be matched to valid electronic tax records.
KRA said the development would promote greater transparency and accountability in government transactions while supporting more efficient financial processes across public institutions.
KRA warns suppliers to keep records accurate
The tax authority has urged suppliers to take responsibility for maintaining accurate and up-to-date tax information.
“Suppliers are encouraged to regularly verify their tax compliance status and ensure that their tax records and information are accurate and up to date,” KRA said.
Suppliers are therefore expected to ensure that their eTIMS records remain consistent with the invoices they submit to government entities.
Any discrepancies could affect the processing and verification of payments through IFMIS.
Part of wider digital transformation
The eTIMS-IFMIS integration comes as the government expands the use of digital platforms in tax administration, public financial management and service delivery.
eTIMS is designed to provide the tax authority with electronic records of business transactions, while IFMIS supports financial management and payment processes within government.
Connecting the two systems creates a closer relationship between the government’s procurement and payment processes and its tax administration framework.
The government expects the integration to improve efficiency while strengthening oversight of public funds.
Support available to suppliers
KRA said suppliers experiencing difficulties with eTIMS onboarding, invoice generation or related processes will continue to receive assistance through its support channels.
The authority encouraged affected businesses to seek help early to avoid disruptions when submitting invoices for government payments.
