AI categorization is very accurate for most transactions, but it's not perfect. You're always in control — the AI suggests, you confirm or correct.
How to Change a Category
- Go to Transactions in your dashboard
- Find the transaction with the wrong category
- Click on it to open the detail view, or look for the edit (pencil) icon in the Actions column
- Change the category from the dropdown list
- Adjust the VAT rate if needed (0%, 16%, or zero-rated)
- Save your changes
Available Categories
KompliTax uses standard KRA-aligned expense categories including:
- Sales Revenue / Income
- Cost of Goods Sold / Raw Materials
- Utilities (electricity, water, internet)
- Rent & Property Costs
- Salaries & Wages
- Transport & Logistics
- Professional Services (legal, accounting)
- Marketing & Advertising
- Equipment & Machinery
- Non-Deductible Expenses
- Personal Expenditure
Why the AI Gets It Wrong
The most common cause of miscategorization is an unusual sender name or reference that the AI doesn't recognize. For example, "KAMAU PETER" might be a customer, a supplier, or even a personal contact — the AI uses the reference and amount to guess, but it can be wrong.
Once you correct it, try to include a descriptive note (e.g., "Stock purchase — maize flour") to help the AI learn for future similar transactions.
Non-Deductible Expenses
KompliTax will flag transactions that appear to be personal or non-deductible expenses (such as M-Pesa transfers to a personal name or apparent entertainment spending). Always categorize these correctly — overclaiming deductions is a common trigger for KRA audits.