Daily eTIMS Obligations
These are tasks you or your staff should complete every business day.
Issue eTIMS-compliant invoices for every sale
Every sale to every customer must be recorded through eTIMS. No exceptions. Manual invoices are only permitted during verified system downtime, and must be entered into eTIMS within 24 hours of the system being restored.
Verify each invoice is accepted by KRA
After issuing an invoice, check that it appears in 'Issued Invoices' with a 'Success' status. A rejected invoice means the sale is not recorded with KRA even though you issued a document. Fix and reissue before end of day.
Reconcile daily sales tally against eTIMS report
At end of day, run a quick sales summary from eTIMS and compare it to your POS or manual sales record. Any discrepancy means an invoice was not transmitted correctly or a sale was missed.
Check eTIMS device status at start of day
Before you start issuing invoices, confirm your eTIMS control unit or portal is connected and functioning. A device that failed overnight may need a reset or KRA support call.
Record any manual transactions with reason
If you had to issue any manual invoices (system downtime, power failure, etc.), log each one with the reason, time, and invoice details. These must be entered into eTIMS as soon as the system is available.
Daily reconciliation is your best defence against audit penalties
KRA audit teams compare your eTIMS invoice register against your bank deposits and VAT returns. A business that reconciles daily catches discrepancies immediately. A business that reconciles monthly (or never) discovers problems only when KRA flags them — and by then, penalties apply.
Monthly eTIMS Compliance Requirements
These tasks align with your monthly VAT return cycle and must be completed by the 20th of each month.
Run complete eTIMS sales report for the month
Generate a monthly sales summary from eTIMS showing total invoices issued, total sales value, total VAT, and breakdown by rate. This report is the source data for your VAT return.
Reconcile eTIMS sales figures against VAT return
The sales figures on your VAT return must exactly match your eTIMS sales report. If there is a discrepancy, investigate before filing. Common causes: missing invoices, rejected invoices, or sales entered outside eTIMS.
Reconcile physical stock with eTIMS stock register
eTIMS tracks your inventory through invoices issued. At least once a month, physically count your stock and compare it to the eTIMS stock register. Investigate and correct any discrepancies.
Verify invoice sequence is continuous with no gaps
Run an invoice sequence report. Any gaps in serial numbers must be explained (cancelled invoices, rejected invoices, or skipped numbers). Unexplained gaps suggest unreported sales and trigger KRA attention.
Process any credit notes or debit notes
If you issued refunds or adjustments during the month, ensure corresponding credit notes are created in eTIMS. Credit notes reduce your output VAT for the period.
Back up eTIMS data and reports
Export and save your monthly eTIMS reports. KRA requires records to be retained for 5 years. Cloud backups are recommended in addition to local storage.
Quarterly and Annual Checks
Less frequent but equally important checks to maintain long-term compliance.
Quarterly: Full eTIMS systems audit
Review all eTIMS processes: invoice issuance, stock reconciliation, device logs, user access controls. Identify any recurring issues and address them before they become KRA audit findings.
Quarterly: User access review
If multiple staff have access to eTIMS, review who has login credentials. Revoke access for former employees. Change passwords quarterly. Unauthorised access to eTIMS is a security and compliance risk.
Annual: eTIMS device inspection and maintenance
Schedule a full inspection of your eTIMS control unit (ESD). Check for physical damage, firmware updates, and battery condition. Replace any device showing signs of wear to prevent unexpected failures.
Annual: KRA eTIMS compliance self-assessment
Run a self-assessment against KRA's eTIMS compliance checklist. Areas to check: invoice continuity, stock accuracy, timely data submission, device logs, staff training, and record retention.
Annual: Staff training update
eTIMS processes and KRA requirements change. Ensure your invoicing and finance staff are up to date with the latest eTIMS requirements. An untrained employee is the most common cause of compliance failures.
eTIMS Device Maintenance
Your eTIMS control unit (ESD) or software is the backbone of your compliance. Neglecting it is the fastest way to get into KRA trouble.
Keep the device powered and connected
The ESD device must remain powered on during business hours. If you use the eTIMS portal, ensure a stable internet connection at all times. Intermittent connectivity causes invoice transmission failures.
Install firmware and software updates promptly
KRA periodically releases updates to the eTIMS system. When an update is available, install it as soon as possible. Running outdated firmware can cause compatibility issues and invoice rejections.
Maintain a device fault log
Record every instance of device malfunction, error message, or connectivity issue. Include date, time, nature of fault, and how it was resolved. This log is your evidence if KRA questions compliance during a fault period.
Have a backup device or alternative access plan
If your primary ESD device fails, you should have a backup plan. This could be a second device, access to the eTIMS web portal, or an arrangement with your VAT agent to issue invoices on your behalf.
Contact KRA immediately for hardware faults
If your ESD device is physically damaged or stops working entirely, contact KRA eTIMS support at etims@kra.go.ke or call 020 4 999 999. Do not continue issuing manual invoices for days without addressing the device issue.
Audit Readiness: What KRA Checks
If KRA selects your business for an eTIMS audit, here is exactly what they examine. Use this to test your own readiness.
| What KRA Examines | What They Look For |
|---|---|
| Invoice continuity | Gaps in serial numbers, missing invoices, invoices issued out of sequence |
| Sales vs eTIMS reconciliation | Discrepancies between eTIMS sales and bank deposits, or eTIMS sales and VAT return figures |
| Stock register accuracy | Physical stock counts matching eTIMS stock records. Large discrepancies suggest off-book sales |
| Device fault logs | Evidence that device faults were documented and reported to KRA promptly |
| Manual invoice records | Any manual invoices must have a valid reason and must be entered into eTIMS within 24 hours of system restoration |
| Credit and debit notes | All adjustments must be supported by original invoice references and valid reasons |
| User access logs | Unauthorised users, former employees with active access, or suspicious login patterns |
Pass the audit test every time
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Start eTIMS Managed ServiceFrequently Asked Questions
- What happens if I don't comply with eTIMS requirements?
- Non-compliance with eTIMS can attract penalties of up to KES 100,000 per instance. KRA has been aggressively enforcing eTIMS compliance in 2026. Specific penalties include: KES 50,000 per month for failure to onboard within 30 days of VAT registration, KES 100,000 for issuing non-compliant invoices, and denial of input VAT claims for purchases that are not eTIMS-compliant.
- Do I need to submit data to eTIMS every day?
- eTIMS transmits invoice data to KRA in real time as invoices are generated. There is no separate 'daily submission' step — every invoice you issue through eTIMS is automatically sent to KRA. However, you should reconcile your eTIMS data daily to ensure all invoices were transmitted successfully and no rejections occurred.
- How do I reconcile my stock in eTIMS?
- eTIMS requires you to maintain a stock register that matches your physical inventory. To reconcile: (1) Run a stock report from eTIMS. (2) Physically count your inventory. (3) Investigate and correct any discrepancies. (4) Document the reconciliation with date and sign-off. Stock discrepancies are a red flag for KRA audit teams and can trigger a full investigation.
- Can I use a third-party POS system with eTIMS?
- Yes, but the system must be KRA-approved and integrated with eTIMS. Many POS providers in Kenya offer eTIMS integration. Before purchasing a POS system, verify with the provider that it is eTIMS-compliant and capable of transmitting invoice data to KRA in real time. Using a non-integrated POS alongside eTIMS creates a reconciliation nightmare.
- What records must I keep for eTIMS compliance?
- KRA requires you to maintain: (1) A register of all e-invoices issued (sequential, unbroken series). (2) A register of all credit and debit notes. (3) A stock register reconciled monthly. (4) eTIMS device maintenance logs. (5) Records of any manual invoices issued during system downtime. (6) Monthly eTIMS compliance reports. These records must be retained for at least 5 years.