Starting a business is challenging and success may be easier achieved if the management focuses on the core business and outsource bookkeeping to a firm with Certified Public Accountants (CPA) who are knowledgeable of the latest accounting practices in the Kenya.

It may be more efficient, in terms of time and money, to outsource bookkeeping to a firm rendering professional services.

Simple bookkeeping would take at least 3-5 hours a day if performed by a CPA. This time may be better spent managing the operations of the business.

Hiring an in-house CPA to perform accounting, tax compliance, and payroll tasks may cost more than the professional fee of a firm that can perform the same tasks. The firm would also have the contractual obligation to ensure continuity of services regardless of any changes in its manpower.

In general, taxpayers are required to pay three main taxes, as follows:

• Withholding Taxes – filed monthly and annually
• Value Added Tax – filed monthly and quarterly
• Income Tax – filed quarterly and annually

The taxpayer may be required to file additional tax returns, as provided in its BIR Certificate of Registration.

The taxpayer needs to start filing tax returns as soon as the BIR Certificate of Registration is issued. It may reflect in its returns that it has no transactions for the period.