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eTIMS stands for Electronic Tax Invoice Management System.
It is a platform developed by the Kenya Revenue Authority (KRA) to manage the generation and submission of tax invoices electronically.
In simple terms, eTIMS is how KRA now wants businesses in Kenya to issue receipts and invoices. Instead of a manual receipt book or an older Electronic Tax Register (ETR) machine, businesses use eTIMS to generate invoices that are transmitted to KRA in real time.
Why did KRA introduce eTIMS?
KRA introduced eTIMS to reduce tax evasion, improve the accuracy of VAT collection, and make it easier for businesses to stay compliant without expensive hardware. Before eTIMS, businesses needed a physical ETR machine to issue compliant receipts. eTIMS moves that process to software, meaning it can run on a phone, a tablet, a computer, or a POS system.
Who needs to register for eTIMS?
KRA has made eTIMS mandatory for all VAT-registered taxpayers in Kenya. Non-VAT registered businesses with an annual turnover above KES 5 million are also required to comply. If you are not sure whether your business needs to register, check with a KRA tax agent or visit the KRA iTax portal.
As of 2024, KRA has been progressively expanding the requirement. If you run a business in Kenya and you are not yet on eTIMS, it is worth checking your compliance status now.
How does eTIMS work?
When you make a sale, eTIMS generates a tax invoice that includes your business details, the transaction details, and a unique control unit invoice number (CUIN). That invoice is transmitted to KRA automatically. Your customer receives a compliant receipt, and KRA has a record of the transaction.
The system works through several channels:
The eTIMS online portal at etims.kra.go.ke
The eTIMS mobile app (available on Android)
eTIMS-integrated POS systems, where the compliance happens automatically inside your point-of-sale software
For most small businesses, an integrated POS system is the most practical option because it handles compliance in the background while you focus on running your business.
What happens if you are not compliant?
KRA can issue penalties for businesses that fail to comply with eTIMS requirements. Beyond penalties, non-compliant businesses risk having their iTax accounts flagged, which can affect your ability to get a Tax Compliance Certificate (TCC). You need a TCC to bid for tenders, open certain bank accounts, and access some government services.
The easiest way to get compliant
The fastest way for most Kenyan SMBs to get on eTIMS is through an integrated POS system that is already certified by KRA. Veira is a KRA-certified eTIMS integrator. Their POS system handles invoice generation and transmission to KRA automatically. No manual filing, no separate portal to log into.
You can also visit veirahq.com to see how their system works.
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