Key KRA Tax Deadlines Every Kenyan Should Know in 2026
Avoid KRA penalties in 2026 with our guide to key tax deadlines every Kenyan should know. Master monthly PAYE, VAT returns, annual IT1/CT1 filings, corporate installments, rental taxes, and more. Get the full calendar now and stay compliant effortlessly.
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Income Tax Deadlines
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Income tax deadlines affect 4.2 million individual taxpayers with monthly PAYE and June 30th annual IT1 filings being most critical. Employees face PAYE deductions handled by employers, while all taxpayers use the KRA iTax portal for filings. This covers personal tax obligations for the 2026 tax calendar.
Next, explore monthly PAYE remittances for employers and the detailed process for annual IT1 returns. Missing these KRA tax deadlines risks late filing penalties and interest charges. Proper use of the iTax portal ensures tax compliance and penalty avoidance.
Kenyan tax obligations include gathering documents like P9 forms and bank statements. The tax year 2026 follows the calendar year, with key filing due dates in January and June. Experts recommend checking the KRA mobile app for deadline reminders.
Businesses and self-employed individuals must track withholding tax and rental income tax. Use online payments via M-Pesa or bank transfers to meet schedules. This section prepares you for income tax filing in 2026.
Monthly PAYE Remittances
Employers must remit PAYE by the 9th working day of each month. January 2026 deadline is January 10th via iTax portal. This applies to all employee deductions under Kenya Revenue Authority rules.
Here is a sample calendar for 2026 PAYE due dates. For a salary of KES 500,000, expect around KES 75,000 PAYE monthly, depending on brackets.
| Month | Due Date | Example Amount (KES 500k salary) |
|---|---|---|
| January | January 10 | KES 75,000 |
| February | February 11 | KES 75,000 |
| March | March 10 | KES 75,000 |
| April | April 9 | KES 75,000 |
| May | May 11 | KES 75,000 |
| June | June 10 | KES 75,000 |
Follow these steps for PAYE deadlines: First, calculate using KRA PAYE calculator. Second, login to iTax with KRA PIN. Third, file IT2 form. Fourth, pay via M-Pesa (buy goods 222222) or bank transfer.
Late remittances incur 5% penalty plus 1% daily interest. A Nairobi retailer faced a KES 1.2 million fine for six months delay. Track employer remittances to avoid non-compliance risks and ensure timely tax payment schedules.
Annual Income Tax Returns (IT1)
File IT1 by June 30th 2026 for 2025 income year. Use the iTax portal for this key KRA tax deadline. It covers all income sources for individual taxpayers.
- Gather P9, bank statements from January to December.
- Login to iTax with your KRA PIN.
- Select IT1 for 2025 income year.
- Input income into tax brackets: 0-24k at 10%, up to 800k+ at 30%.
- Calculate refund or amount owed using KRA tool.
- Submit return and make payment if due.
Review these 2026 tax brackets in the table below for accurate filing.
| Income Bracket (KES) | Tax Rate |
|---|---|
| 0 - 24,000 | 10% |
| 24,001 - 32,333 | 25% |
| Above 800,000 | 30% |
A common mistake is forgetting rental income tax at 15% withholding. Include pension contributions, NHIF deductions, and NSSF payments. This ensures complete annual tax returns and avoids audit risks.
VAT and Excise Duties
VAT-registered businesses with turnover above KES 5M face strict 20th monthly deadlines plus excise duties on 45 product categories. VAT stands at 16% on most goods and services, while excise targets alcohol and tobacco. These rules cover around 250,000 VAT taxpayers under Kenya Revenue Authority oversight.
Businesses must file VAT returns and remit payments by the 20th of each month to avoid penalties. Excise duties require separate filings via the iTax portal. Missing these KRA tax deadlines leads to fines and interest charges.
For 2026, mark your tax calendar with these dates to ensure tax compliance. Use the iTax portal for e-filing and payments through M-Pesa or banks. Proper record keeping helps with audit preparation and penalty avoidance.
Examples include importers and manufacturers handling both VAT and excise. Late filings trigger late filing penalties, so set reminders for monthly obligations. Consult tax agents for complex cases involving digital services tax or imports.
Monthly VAT Returns
VAT returns due 20th of each month, so January 2026 deadline falls on January 20th. File even if nil return to stay compliant. This applies to all VAT-registered entities via the iTax portal.
Start by logging into iTax, select VAT Services then Monthly Return. Input sales and purchases, applying 16% output tax on sales and input credits on purchases. Calculate net VAT, for example, KES 1.6M sales minus KES 800k inputs equals KES 128k payable.
- Login to iTax portal with your KRA PIN.
- Navigate to VAT Services and select Monthly Return.
- Enter output tax, input credits, and compute net amount.
- Pay via M-Pesa, bank transfer, or other approved methods.
- Download the acknowledgment receipt for records.
Penalties for late filing include 10% of tax due, with a minimum of KES 20,000. A Mombasa importer faced a KES 4.8M penalty for delays. Maintain bookkeeping records to support claims and avoid audits.
Excise Duty Payments
Excise duty on beer at KES 48 per litre, cigarettes at 62%, spirits at 50% due by the 5th working day monthly. Additional categories include wines and betting services. File through the iTax Excise module for tax compliance.
Payment deadlines split into 5th for current month production and 15th for prior month. Calculate duty precisely, such as 1,000 litres of beer times KES 48 equals KES 48,000. Use e-filing to meet KRA tax deadlines and reduce errors.
| Product | Rate | Example Duty (per unit) |
|---|---|---|
| Beer | KES 48/litre | KES 48 per litre |
| Cigarettes | 62% | KES 62 per KES 100 pack |
| Spirits | 50% | KES 50 per KES 100 value |
| Wines | 25% | KES 25 per KES 100 bottle |
| Betting | 7.5% | KES 7.5 per KES 100 stake |
Experts recommend timely payments to dodge interest charges and audits. Breweries often face penalties for under-reporting. Keep detailed financial statements for dispute resolutions or appeals.
Corporate Tax Obligations
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Companies pay 30% corporate tax with quarterly installments plus CT1 annual returns by June 30th. This applies to Kenyan corporations under the quarterly pay-as-you-earn system. The Finance Act 2025 raised the minimum tax to 1% of turnover for certain firms.
Businesses must track KRA tax deadlines to meet these Kenyan tax obligations. Late payments trigger penalties, so use the 2026 tax calendar for planning. Proper compliance avoids disruptions to cash flow.
Prepare financial statements early for income tax filing via the iTax portal. Engage ICPAK-certified auditors to certify accounts. This ensures smooth submission of annual tax returns.
Monitor KRA announcements for fiscal policy changes from the budget speech. Tax agents can assist with complex calculations. Staying updated on tax law updates supports penalty avoidance.
Quarterly Corporate Tax Installments
Pay 25% estimated tax quarterly: 20th March, June, September, December 2026. These cover the first, second, third, and fourth quarters based on prior year profits. Use the formula: prior year profit times 30% divided by 4.
For example, a company with KES 40M profit last year pays KES 3M each quarter. Adjust estimates if current performance differs significantly. Submit payments via iTax portal, M-Pesa, or bank transfers.
| Quarter | Period | Due Date 2026 |
|---|---|---|
| Q1 | January to March | 20th March |
| Q2 | April to June | 20th June |
| Q3 | July to September | 20th September |
| Q4 | October to December | 20th December |
Underpayment faces 5% penalty per annum on the shortfall. Maintain accurate records for tax payment schedules. Review quarterly to align with business tax obligations.
Annual Corporation Tax Returns (CT1)
File audited CT1 by June 30th 2026 with financials certified by ICPAK auditor. This deadline marks the end of the tax year filing period. Submit via the e-filing system on iTax.
Required documents include audited accounts, CT1 form, and tax computation. Upload PDFs of these through iTax steps: log in with KRA PIN, select filing, compute tax, and submit. Keep copies for audit preparation.
- Audited financial statements
- Completed CT1 form
- Detailed tax computation sheet
- Supporting schedules for deductions
Extensions are rare; apply by May 15th if needed. Penalty for late filing is KES 200,000 plus 5% of tax due. A Kenyan bank once faced a KES 15M fine for delayed CT1 submission.
Organise bookkeeping requirements early to meet statutory deadlines. Professional advisors help with compliance checklists. This approach minimises non-compliance risks and interest charges.
Property and Rental Taxes
Rental income tax affects landlords across Kenya, including those with residential and commercial properties. Commercial rentals often involve withholding at source by tenants or agents at 7.5%. Nairobi features some of the highest rates due to demand.
Landlords must track KRA tax deadlines for monthly payments to stay compliant in the 2026 tax calendar. Use the iTax portal for filings and payments. Late submissions trigger penalties and interest charges.
Property rates from county governments add to obligations, separate from national rental income tax. Keep records of gross rents and receipts. Agents handle withholding for commercial tenants, simplifying compliance.
For the tax year 2026, align payments with monthly tax payment schedules. Consult tax agents if managing multiple properties. This ensures penalty avoidance and smooth tax compliance.
Monthly Rental Income Tax
Pay 7.5% by 20th monthly. For KES 100k/month rent, this equals KES 7,500 tax. File via the iTax Rental Income module before the deadline.
Landlords pay 7.5% rental income tax monthly on gross rent exceeding KES 288,000 annually. Calculate based on total monthly gross receipts. Commercial tenants or agents withhold this amount at source.
| Monthly Gross Rent Band | Tax Rate | Payment Deadline |
|---|---|---|
| Up to KES 24,000 | Nil | N/A |
| Over KES 24,000 to KES 50,000 | 7.5% | 20th of following month |
| Above KES 50,000 | 7.5% on full amount | 20th of following month |
Example: A 2-bedroom Nairobi flat at KES 50k/month yields KES 600,000 yearly. Tax is KES 50,000 x 12 x 7.5% = KES 45,000 annual tax. Pay monthly portions by the 20th to avoid late filing penalties.
Self-employed landlords remit directly through online payments or M-Pesa tax payments. Residential rents require owner filing unless an agent manages. Track all in your 2026 tax calendar for compliance.
Customs and Import Duties
Import duties average 25% + 16% VAT + excise, declared via KRA Customs Portal within 7 days of Bill of Lading. Kenyan importers must meet these KRA tax deadlines to avoid penalties. Missing the window triggers storage fees and potential seizure of goods.
Key rates apply to common items, such as electronics at 20%, clothing at 35%, and alcohol at 50%. Use the duty calculator on the portal for accurate estimates. Always factor in additional VAT returns and excise duties for full compliance.
| Item Category | Duty Rate |
|---|---|
| Electronics | 20% |
| Clothing | 35% |
| Alcohol | 50% |
Penalties include 2.5% per day storage charges after clearance delays. For 2026 tax calendar, align with quarterly customs duties filings. Businesses importing regularly should track Bill of Lading dates closely.
Practical example: A Nairobi trader importing smartphones must declare within 7 days, pay via bank, and clear goods promptly. Late action risks compounded fines, disrupting tax compliance. Consult the KRA portal for updates on finance act 2026 changes.
Steps to Clear Imports
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- Register for iCMS on the KRA Customs Portal to obtain your importer code.
- File Import Declaration Form 215 with all required documents like invoice and Bill of Lading.
- Pay duties via authorised banks or online platforms, confirming receipt before clearance.
- Clear goods at the port after verification, avoiding storage penalties.
Follow these steps strictly to meet Kenyan tax obligations. Delays in any phase lead to interest charges. For tax year 2026, automate reminders via KRA mobile app.
Digital Services Tax
Digital Services Tax at 1.5% applies to earnings from platforms like Google or Facebook. Content creators and influencers must declare via iTax portal by quarterly deadlines. Integrate this into your 2026 tax calendar alongside income tax filing.
Report gross revenues from digital ads or services. Use e-filing system for accuracy. Non-compliance invites audits and late filing penalties.
Example: A Kenyan YouTuber earning from Google AdSense pays 1.5% on qualifying income. Track payments monthly to simplify quarterly returns. Seek professional advisors for complex cases.
Penalties for Late Filing
KRA penalties average KES 67,000 per violation. VAT late filers pay 10% of tax due, with a minimum of KES 20,000. These charges add up quickly for Kenyan taxpayers missing KRA tax deadlines.
Interest often compounds the issue. For example, late VAT returns trigger both penalties and daily interest. Businesses must prioritise tax compliance to avoid these costs in the 2026 tax calendar.
The iTax portal shows exact amounts owed. Taxpayers can check penalty details under their profiles. Early action helps with penalty avoidance through timely quarterly returns.
Government amnesty programs offer relief sometimes. In 2024, waivers totalled KES 4 billion for compliant filers. Stay updated on tax amnesty via KRA announcements for 2026.
Penalty Comparison Table
| Tax Type | Penalty Structure | Example Calculation |
|---|---|---|
| VAT | 10% of tax due (min KES 20,000) | KES 1M tax due, late 30 days: KES 100k penalty + KES 30k interest |
| PAYE | 5% + 1% per day late | KES 500k due, 10 days late: KES 25k + KES 50k interest |
| Income Tax | 5% per annum on unpaid amount | KES 2M due, 6 months late: KES 50k interest |
| Corporate Tax | KES 200k fixed penalty | Late filing: KES 200k regardless of tax amount |
This table outlines late filing penalties for key taxes. Use it to understand fine calculations for personal tax and business tax obligations. Plan around PAYE deadlines and annual tax returns to stay safe.
Appeal Process via iTax
File appeals through the iTax portal within 30 days of a penalty notice. Provide evidence like record keeping or system errors. KRA reviews disputes under dispute resolutions guidelines.
Steps include logging in, selecting the notice, and uploading documents. Seek professional advisors for complex cases like corporate tax disputes. Success depends on strong proof of tax compliance efforts.
During appeals, penalties may pause. Track status online via your KRA PIN. This process aids non-compliance risks management for the tax year 2026.
Key Calendar Summary
Download this 2026 KRA calendar with 28 deadlines. Set reminders for January 10th PAYE, April 20th VAT, June 30th IT1/CT1. This master list helps Kenyan taxpayers meet Kenya Revenue Authority obligations on time.
Focus on the top 5 key KRA tax deadlines: January 10 PAYE remittances, March 20 corporate Q1 returns, June 30 IT1/CT1 annual filings, September 20 corporate Q3, and December 20 corporate Q4. Missing these triggers late filing penalties and interest charges. Use the iTax portal for e-filing to ensure compliance.
Prepare payments via M-Pesa tax payments or bank transfers. Common codes include those for PAYE, VAT, and corporate tax. Always verify codes through official KRA channels before sending funds.
Maintain a compliance checklist: confirm KRA PIN is active, keep records for 7 years, and schedule accountant review quarterly. This avoids non-compliance risks during tax audits.
| Date | Deadline | Who | Penalty Risk |
|---|---|---|---|
| Jan 10 | PAYE remittance | Employers | 5% monthly penalty + interest |
| Mar 20 | Corp Q1 return | Companies | Late fee + audit trigger |
| Jun 30 | IT1/CT1 annual | Individuals/companies | High interest charges |
| Sep 20 | Corp Q3 return | Companies | Penalty avoidance key |
| Dec 20 | Corp Q4 return | Companies | Year-end filing rush |
| Apr 20 | VAT monthly | Registered businesses | Daily interest accrual |
| Jul 20 | Withholding tax | Withholding agents | Personal liability fines |
| Jan 20 | Excise duty | Manufacturers/importers | Seizure of goods risk |
Compliance Checklist for 2026
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Start with verifying your KRA PIN is active via the iTax portal. Update personal details to avoid filing rejections. This step prevents delays in income tax filing.
Keep financial records for 7 years, including invoices, receipts, and bank statements. Use digital tools for bookkeeping to meet record keeping requirements. Employers must track employee deductions like NHIF and NSSF payments.
Schedule a professional advisor review before major deadlines such as June 30 IT1/CT1. They can spot errors in rental income tax or capital gains tax calculations. Regular checks reduce audit preparation stress.
- Activate KRA PIN if dormant.
- Organise quarterly returns for VAT and corporate tax.
- Confirm M-Pesa payment codes match your obligation.
- Review tax brackets 2026 for personal tax accuracy.
- Prepare for holiday deadlines like December assessments.
Frequently Asked Questions
What are the Key KRA Tax Deadlines Every Kenyan Should Know in 2026?
The Key KRA Tax Deadlines Every Kenyan Should Know in 2026 include filing your income tax return by 30 June, paying PAYE and other employment taxes monthly by the 9th of the following month, VAT returns by the 20th of the next month, and corporate tax for year 2025 by 30 June 2026. Missing these can lead to penalties, so mark your calendar early.
When is the deadline for filing personal income tax returns in 2026 under Key KRA Tax Deadlines Every Kenyan Should Know in 2026?
For Key KRA Tax Deadlines Every Kenyan Should Know in 2026, personal income tax returns for the 2025 income year must be filed by 30 June 2026, via the iTax portal. Extensions are rare, so prepare your documents like P9 forms and receipts well in advance to avoid fines up to 5% of tax due or KSh 2,000, whichever is higher.
What are the monthly Key KRA Tax Deadlines Every Kenyan Should Know in 2026 for PAYE and withholding taxes?
Key KRA Tax Deadlines Every Kenyan Should Know in 2026 for monthly obligations include PAYE, withholding tax, and excise duty payments due by the 9th of the following month. For example, January 2026 taxes are due by 9 February 2026. Employers and businesses must comply to prevent interest accrual at 1% per month.
Which quarterly deadlines make up the Key KRA Tax Deadlines Every Kenyan Should Know in 2026?
Among the Key KRA Tax Deadlines Every Kenyan Should Know in 2026, quarterly filings include VAT and withholding tax returns due by the 20th of the month after the quarter ends—e.g., Q1 (Jan-Mar) by 20 April 2026. This applies to registered businesses; use iTax for electronic submission to stay compliant.
What is the corporate tax filing deadline in the Key KRA Tax Deadlines Every Kenyan Should Know in 2026?
The Key KRA Tax Deadlines Every Kenyan Should Know in 2026 feature corporate income tax returns for the year ending 31 December 2025, due by 30 June 2026, with instalment payments throughout the year. Companies should align with their financial year-end and consult auditors to meet this critical deadline without penalties.
Are there any annual property tax deadlines in the Key KRA Tax Deadlines Every Kenyan Should Know in 2026?
Yes, in the Key KRA Tax Deadlines Every Kenyan Should Know in 2026, annual rental income tax and property rates must be declared in your income tax return by 30 June 2026. County-specific property taxes may have local due dates, but KRA integration requires timely iTax updates to avoid double penalties.