The authority said it is committed to making the process as gentle and straightforward as possible

By EMMANUEL WANJALA

Deregistration helps avoid penalties and ensures compliance during estate administration 

It is a mandatory legal requirement in Kenya to deregister the KRA PIN of a deceased taxpayer to update records and avoid “ghost penalties” for non-filing of returns.

The process, which is not automatic upon death, requires the legal representative or executor of the deceased person’s estate to file a deregistration request via iTax and settle any outstanding taxes from the estate.

The Kenya Revenue Authority says proper management of tax records relating to deceased taxpayers ensures that any tax obligations arising from the individual or their estate are handled in accordance with the law.

It adds that upon the death of an individual taxpayer, the Personal Identification Number (PIN) associated with the deceased person must be deregistered as part of the administrative process.

“However, where the estate of the deceased continues to hold assets, earn income or undertake transactions that may give rise to tax obligations, a PIN must be issued for the estate of the deceased person to facilitate tax compliance during the administration of the estate,” KRA said.

KRA acknowledges that losing a loved one is one of life’s most difficult experiences, during which time of grief such administrative tasks may feel overwhelming.

The authority said it is committed to making the process as gentle and straightforward as possible by offering simple guidance on the requirements and procedures for the deregistration of a deceased person’s PIN and the registration of a new one for the estate of the deceased person.

Who initiates the process?

The process of deregistration of a deceased person’s PIN can be initiated by a legal representative managing the affairs of a deceased taxpayer, executors of wills, court-appointed administrators of estates or family members acting on behalf of the estate.

All such individuals must demonstrate legal authority to act on behalf of the estate of the deceased by producing binding documents granting them the authority.

Requirements for deregistration of a deceased person’s PIN

There are seven critical requirements needed before initiating the process.

KRA says should anyone encouter difficult obtaining the documents, they should get in touch with the authority for guidance on the essentials to start the process.

The documents are a certified copy of the death certificate, copy of the Will (where applicable), grant of probate issued by the High Court or Letters of Administration and a certificate of confirmation of grant of administration.

There must also be proof of a Gazette Notice listing the appointed administrators, identification document of the legal representative, evidence of registration of the estate and acquisition of a PIN for the estate where applicable.

The process

Upon verification of all the required documents, submit the application through iTax or at any KRA office.

A team of KRA officials will review the documents and process the deregistration within 60 days.

The confirmation will be sent to the applicant's official email once complete.

Requirements for registration of a PIN for the estate of a deceased person

Where the estate of the deceased is required to meet tax obligations, a PIN shall be issued upon submission of the following documents:

Certified copy of the death certificate, grant of probate or letters of administration issued by the High Court, certificate of confirmation of grant of administration and a copy of application for grant of probate or letters of administration.

The applicant must also provide a list of assets and liabilities contained in the affidavit filed with the probate application, a gazette notice listing the administrators and identification documents of the legal representative.

"All documents submitted must be clear and, where required, certified copies," KRA said.

Application Process

The applicant can submit the request through the iTax system or by visiting the nearest KRA office or Tax Service Office (TSO).

Upon receipt of the application, KRA will review the submitted documentation to verify authenticity and completeness.

The authority will then confirm the legal authority of the applicant to act on behalf of the estate, and where the documentation meets the required threshold, the reregistration request shall be processed and the estate PIN issued.

The process shall be completed within 60 days upon submission of all required documentation.

As is the case with PIN deregistration, the applicant will be notified through their official email once the process has been completed. The Star