KSh 550.00
Description
CONTENT
1. Introductions to public financial management Legal Framework
– General overview of public financial management as envisaged by the constitution
– Overview of the public financial management Act
– Financial regulations
– Treasury circulars; meaning and application
– Process of developing county government finance bills
2. The operations of the national and county governments on management and control of
public finance
– Establishment of National County Treasury
– Responsibility of National and County Treasuries with respect to public funds
– Establishment, purpose and composition of intergovernmental budget and economic
council
– The process of sharing revenue
– The role of the Commission on Revenue on Allocation (COR)
– The role of the council of governors in county financial management
3. Establishment of public funds in the public sector
– Provision of establishing public funds
– Rationale of creation of public funds
– The consolidated fund
– The establishment and administration of contingency funds
– The establishment and administration of equalization funds
4. Supply chain management in public entities
– Definition and terminologies
– General overview of Public Procurement and Disposal (PPD) Act
– Procurement guidelines as envisaged by PPD Act
– Committees responsible for procurement
– Procurement process by National, County and other Public entities
– Tendering process and selection of suppliers in public sector
– Concept of E-procurement
5. Oversight function in public finance management
– The role of National Assembly
– The role of senate
– The role of county assembly
– The role of auditor general
– The role of Internal Audit
– Role of controller of budget in relation to disbursement of public funds as envisaged by
the constitution and PFM Act, 2012
PUBLIC FINANCE AND TAXATION
Page 3
6. Introduction to taxation
– History and purposes of taxation
– Principles of an optimal tax system
– Single versus multiple tax systems
– Classification of taxes and tax rates
– Impact incidence and tax shifting, Lax shifting theories
– Taxable capacity
– Budgetary and fiscal policy tools.: General definition of budgets terms ,Budget surplus and
deficits
– Role of budget officers in budget preparation and execution
– Responsibilities of the national and county treasury in relation to budget preparation
– Budget process for both national, county and Public entities
– Revenue Authority — History, structure and mandate
7. Taxation of income of persons Taxable and non taxable persons
– Sources of taxable incomes
– Employment income;
Taxable and non taxable benefits
Allowable and non allowable deductions
Tax credits (Withholding tax, personal and insurance relief etc)
Pension Income
– Business income:
Sole proprietorship
Partnerships (excluding conversions)
incorporated entities (excluding specialised institutions)
Turnover tax
– Income from use of property- rent and royalties
– Farming income
– Investment income
– Capital gains tax
8. Capital deductions
– Rationale for capital deductions
– Investment deductions: ordinary manufacturers
– Industrial building deductions
– Wear and tear allowances
– Farm works deductions
– Mining allowance
– Shipping investment deduction
– Other deductions
PUBLIC FINANCE AND TAXATION
Page 4
9. Administration of income tax
– Overview of the income tax act
– Identification of new tax payers
– Assessments and returns
– Operations of PAYE systems: Preparation of PAYE returns, categories of employees
– Notices, objections, appeals and relief of mistake A
– Appellant bodies
– Collection, recovery and refund of taxes
– Offences, fines, penalties and interest
– Application of ICT in taxation: iTaxi Simba system
10. Administration of value added tax
– Introduction and development of VAT
– Registration and deregistration of businesses for VAT
– Taxable and non taxable supplies Privileged persons and institutions
– VAT rates
– VAT records
– Value for VAT, tax point
– Accounting for VAT
– VAT returns
– Remission, rebate and refund of VAT
– Rights and obligations of VAT registered person
– Offences fines, penalties and interest
– Enforcement
– Objection and appeals: Requirements and procedure
– Challenges in administration of VAT
11. Customs taxes and excise taxes
– Customs procedure
– import and export duties
– Prohibitions and restriction measures
– Transit goods and bond securities
– Excisable goods and services
– Purposes of customs and excise duties
– Goods subject to customs control
– Import declaration form, pre-shipment inspection, clean report of findings
– Other revenue sources
6.12 Emerging issues and trends
