Plenty of people file their own returns without trouble. If you are an employee with a single job, the process is mostly copying figures from your P9. But as soon as your affairs get more complicated, a professional can save you more than their fee, and can keep you out of trouble you did not know you were in.

Signs you can manage yourself

You are probably fine on your own if you have a single employer, no other income, and a clear P9. Many freelancers with a small, steady income are also comfortable with a good template and a calculator. Use the freelancer tax calculator and the guide to tax for freelancers and content creators to check your figures.

Signs you need help

Consider a professional when any of these are true:

  • you run a company and need annual accounts and a corporation tax return;
  • your sales are near or above the VAT threshold, or you already file VAT returns;
  • you have employees and run payroll, with PAYE, NSSF, SHIF and the Housing Levy to remit;
  • you earn income from several places, or abroad;
  • you are buying or selling property, or importing goods regularly;
  • you have received an assessment, penalty notice or audit letter from KRA;
  • you are choosing between operating as a sole trader and a limited company.

For the last point, the sole trader vs company calculator shows the tax difference, and sole trader or limited company lists the other considerations.

What an accountant or agent does

Services vary, but typically include keeping or reviewing the books, preparing financial statements, computing tax and filing returns, registering you for taxes, handling KRA correspondence and advising on structure. A tax agent can act for you on iTax with your authority; an accountant may do the same and also prepare accounts. Check that the person is qualified and registered with the relevant professional body.

How to choose

  1. Ask for references from businesses like yours.
  2. Check qualifications and ask about experience with your type of business.
  3. Ask for a written scope and a fixed fee for each service, so there are no surprises.
  4. Ask how they communicate and how quickly they reply.
  5. Make sure you keep your own login details and never share your iTax password; an agent should be added with proper authority, not given your credentials.

What it costs

Fees depend on the work. A simple return costs little, bookkeeping and payroll are usually charged monthly, and audits or disputes are priced separately. Compare a fee with the cost of getting it wrong: a single late return can cost more than a year of help. See KRA penalties and interest explained.

How to work with them

Good advice depends on good records. Give your accountant organised documents, answer questions quickly and tell them about changes before they happen, such as hiring staff or signing a big contract. A tidy set of books also lowers the bill, because less time is spent sorting. The simple cashbook and how to keep business records for KRA are a good start.

Stay in charge

Even with a professional, the responsibility for your return is yours. Read what you are signing, ask what each figure means and keep copies of everything filed. Check your iTax ledger yourself from time to time. A good adviser welcomes questions, and the best ones teach you enough to spot problems early. If you are starting out, starting a business: registration and tax steps shows what to set up first.

Questions to ask at the first meeting

Before you agree, ask what the fee covers and what it does not, who will actually do the work, how often you will hear from them and what happens if KRA queries a return they filed. Ask which software they use and whether you will have access to your own records. Be wary of anyone who promises to cut your tax by methods they will not explain, who asks for your passwords, or who cannot show proof of their qualifications. A good professional is clear about limits, honest about risk and happy to put the terms in writing.

Reviewing the relationship each year

Review the arrangement once a year. Are the returns filed on time? Do you understand the reports? Has your business changed enough that you need more or different help? Changing adviser is easy when the books are yours and well kept, so never let a relationship go on simply because switching feels awkward.