Abstract:
This study seek to find out the effect multiple taxation has on small and medium enterprises in Nyamira Town. Small and medium enterprises plays major role in the Kenyan economy since they make up to 90% of the entire economy. They are the major sources of employment even at the county level which leads to poverty alleviation and national growth in Kenya. Taxation is the main source of income for the central government which is devolved to county governments. Multiple taxation at the county level therefore will lead to an increase in operational cost of SMEs especially licensing cost hence hindering their expansion and others being shut down since the taxation environment is not favorable. Therefore this study will try to determine how SMEs will be able to survive under the multiple taxation for them to continue supplying the county government with revenue and employment opportunities to the citizens. The study was guided by the following objectives, to examine the effects of multiple taxation on SMEs, to identify the challenges of taxation system in Nyamira County. The two theories which supported the study are theory of business growth and taxation theories. This study will use a descriptive research design in the collection of data. From the popufanoo of 184 SMEs in Nyamira town a sample of 92 SMEs will be selected using the statistical formula, the sample will be used for the study. Both primary and secondary data collection sheet will be used to collect secondary data. In addition the methods to be used in the data collection are; questionnaires, interviews and observation. The collected data will be analyzed and presented using tables and figures. Based on the research conclusions and recommendations will be drawn.
