Spring Point Solutions

25/12/2019

You are responsible for your life, and when you take responsibility for all your past mistakes, without blame, you change your life. Yes this is what we at Spring Point Solutions believe in.

2019 has been a good year....Shout out to all our Clients. .we Value you.
Happy festive season. .looking forward to serving you better in 2020 and beyond.

For the first time in history leading scientists, authors, and philosophers will reveal The Secret, a secret that utterly transformed the lives of those who lived it. Now YOU will know The Secret, and it can change your life forever.

11/02/2019

PRESUMPTIVE TAX
What is Presumptive Tax?
Presumptive Tax is a simplified tax regime for small and micro enterprises. The tax is applicable to a resident person with a turnover from business not exceeding Kshs. 5 million during a year of income. The tax is based on the value of single business permit or a trade license issued/renewed by County Government.

What is the rate for presumptive tax?
The rate is 15% of the single business permit or trading license fee paid or liable to be paid to a County Government.

How different is Presumptive Tax from Turnover Tax?
Presumptive Tax is charged at 15% of the single business permit or trade license while Turnover Tax was charged at a rate of 3% of the gross turnover. Presumptive Tax is paid once a year at the point of acquiring or renewing single business permit or trade license, Turnover Tax whose payment was made in four instalments per year. Taxpayers under the Turnover Tax regime were required to file a tax return. This is not the case with Presumptive Tax.

What is Turnover for Presumptive Tax purposes?
Turnover is the gross receipts from a business. For multiple businesses, Turnover is aggregated from all businesses of a person for which a single business permit or trading license is issued or liable to be issued by a county government.

Who is supposed to register and pay for Presumptive Tax?
It applies to a person who is issued or liable to be issued with a single business permit or trading license by the County Government. The total gross turnover from all the businesses of the person liable to pay presumptive tax should not exceed five million shillings during a year of income.

What details would be required for Presumptive Tax purposes?
The taxpayer will be required to indicate PIN, the county, sub-county, ward, business number (single business licensing number), business name, turnover and amount of single business permit fee paid during the payment registration.

What informed the shift in gears from Turnover Tax to Presumptive Tax?
Turnover Tax aimed at tapping revenue from the vibrant and robust informal sector. Despite the vibrant growth in the sector, the revenue has been declining. The Turnover Tax has not achieved its intended objectives due to the profile of the sector hence leaving many taxpayers out of the tax net.
Presumptive Tax is therefore the most appropriate tool that will ensure that all taxpayers are brought on-board as well as enhance compliance.

Who is eligible to pay Presumptive Tax?

A resident person whose gross turnover does not exceed Shs 5 million per year of income is liable to pay Presumptive tax. One is liable to pay Presumptive Tax if one is issued or liable to be issued with a single business permit or trade license.

Are there any exemptions under Presumptive Tax?

Yes. The following businesses are exempt from payment of Presumptive Tax:
• Rental business
• Management and Professional services
• Income of incorporated companies
Income exempt from tax under the First Schedule of Income Tax Act and has a valid exemption certificate.

When is The Presumptive Tax due?

Presumptive Tax is 15% of the single business permit or trading licence fee. For example, if the Single Business Permit or trading license is Kshs. 2,000 then Presumptive Tax payable is Kshs. 300 (15% * Kshs. 2,000).

How is payment for Presumptive Tax made?
An eligible taxpayer is expected to log on to the iTax portal using their KRA PIN and password where they will be required to generate a payment slip or an electronic slip against which payment can be made either at any of KRA partner banks or through mobile money transfer (Pay bill number is 572572). The account number where the amount is to be made is the Payment Registration Number (PRN) on the electronic slip generated on iTax.

Are there penalties and interest for non-payment of Presumptive Tax?
Yes, like any other tax, a person who is liable to pay presumptive tax and who fails to pay the presumptive tax at the time of payment for the single business permit or the trade license or renewal of the same shall be liable to a late payment penalty of 5% and late payment interest of 1% per month.

Now that Presumptive Tax needs no filing of a tax return, does this mean that taxpayers under this tax regime do not need to keep records?
It is correct that taxpayers will not be required to a file tax return for Presumptive Tax. However, they will be required to keep necessary records for determination and ascertainment of turnover.

What happens if the business is no longer operational?
In the event that the business is no longer operating in the subsequent year(s) of income, the taxpayer will still be required to comply with the tax laws of filing a tax return.

What is KRA doing to ensure that Presumptive Tax lives up to its expectations?
KRA is already in extensive consultations with the County Governments to ensure a successful implementation of the Presumptive Tax. KRA has also intensified public awareness through sensitization seminars as well as through various media platforms.

17/10/2018

Cut all non essential spending e.g. move to a cheaper house, use public transport, cut entertainment budget, avoid conspicuous lifestyle like taking kids to expensive schools for show off and paying for TV you rarely watch etc. You adopt a cents and sense approach to spending.


Save as much as you can. Treat every shilling earned as if it is your last. In other words avoid forward/anticipatory spending. Things will get worse before they get better hence managing risks is critical.

By saving more and spending less you increase your chances of outliving an economic crisis. How many months can you survive if all your cash flow channels suddenly dry up? The more the better. It is never too late to start preparing for the tough times ahead.

People are suffering and even dying out of economic mismanagement occasioned by the Jubilee regime. The country is in an unofficial economic recession which will soon slide into a depression.

Those in power are still sucking the economy like ticks which continue sucking a cow long after it is dead.

The politicians have united across board to slow down a revolution by the people. However, the people will prevail in the end.

Kenya Today|By Empraim Njega The coming days will be increasingly difficult economically. As I have argued often in the past a widespread collapse of the economy is

21/06/2018

Outsourcing your bookkeeping and accounting services to RealTime frees you to focus on what you do best � marketing and growing your business. RealTime Bookkeeping takes care of all your accounting and bookkeeping tasks, tax returns and payroll processing helping you to record transactions, analyze trends and track progress towards your financial goals. We come in handy to do your postings and take care of your fincancial accounting & bookkeeping services ensuring you get peace of mind knowing your books are accurate and up-to-date at all times.
payroll processing service

RealTime Bookkeeping also provides reliable and cost effective Payroll Processing Services in Kenya. By allowing us to handle your Payroll Processing Service, you ensure timely returns are done, the payroll process is streamlined and your staff spend time on other core functions of the business. We have vast experience in Payroll Processing Services in Kenya.

Let us partner with you in posting your financial transactions, doing your statutory tax returns, payroll services and all other accounting services at cost effective and competitive rates. We are based in Nairobi, Kenya. Please reach us at +254-750-806-706 for more details on how we can partner and empower your business.

28/04/2018

For the following services
1. Company Registrations
2 .KRA services such as Tax compliance
3.I tax filing
4. AGPO certificates
5. NCA Registration
6. Individual and corporate income and vat services
7. Pay Roll Preparation and filling NSSF, NHIF, PAYE
8. Company changes services such as addition of directors, registrar of companies returns
9. Financial Auditing reports and management account.
10. company Profiles
11. partnership Deed preparations
Contact us at Cell; 0750806706

27/04/2018

To our esteemed customers we have finalized working on the next line of services (Accounting, Audit,Tax and Human resource Consultations). We looking forward in serving you better. Give us a call on ;0750806706

06/04/2018

Statement from the Audit Department
How we add value to our esteemed customers

Meeting Your Expectations
Scope
1) Conduct annual audits of our clients on the annual financial statements for the financial years which will include but not be limited to;

• Expressing an opinion on whether the Financial Statements are prepared in all material respects in accordance with applicable financials reporting standards framework, whether proper books of accounts have been maintained and whether the accompanying financial statements give a true and fair view of the financials position of the company.

• Evaluating and obtaining a sufficient understanding of internal control structure related to the program, assessing control risk and identifying re-portable conditions, including material internal control weaknesses.

• Reviewing and evaluating internal control and risk management system and advising Management effectiveness of the system, and proposals for its improvement.

• Ensuring compliance with all Government of Kenya annual returns and statutory deductions.

• Providing recommendations on a system to ensure minimal or no potential future income tax compliance issues

Outputs.

a) An exit meeting to discuss all audit findings at the conclusion of the audit.

b) Timely attaining of the Draft Financial Statements

c) Issuance of a Management Letter which will highlight material internal control weaknesses as well as key audit, accounting and systems matters.

d) Timely production of Annual Financial Statements

Our audit approach is based on meeting and exceeding your expectations with a “No Surprises” philosophy. We identify contentious issues early in the audit and work with you towards resolving them.