Nairobi — The Kenya Revenue Authority (KRA) is keen on leveraging technology as part of reforms to fully digitize value-added tax (VAT).

KRA's Commissioner for Micro and Small Taxpayers, George Obell, who spoke during the African Development Bank (AfDB) VAT Digitalization Seminar, underscored the critical role of digital tools in transforming revenue systems across the continent.

"VAT is a key source of revenue for many of our economies and is, therefore, central to ongoing digital reforms," he said.

"Through innovation, we are creating new avenues to enhance compliance, improve administrative efficiency, and broaden the tax net in a transparent and inclusive way."

Obell stressed the need for regional collaboration in strengthening VAT systems across Africa.

Highlighting Kenya's digital tax journey, Obell pointed to key strides in e-filing, e-invoicing, and data-driven compliance.

These initiatives, he said, have not only boosted revenue collection but also made tax compliance easier for citizens and businesses.

The taxman has been on the move to digitize its systems, which it says is anchored on enhancing efficiency and bolstering its collection.

Last year, KRA mulled exploring technologies such as artificial intelligence (AI) and machine learning to analyze large volumes of data and uncover patterns of tax evasion.