News Centre

The Draft Income Tax (Residential Rental Income Tax) Regulations, 2026 and the Draft Income Tax (Set Off Tax Rebate for Graduate Apprenticeships) Regulations, 2026

2026-04-29T11:42:28+00:00

In compliance with the Statutory Instruments Act, Cap. 2A, the Commissioner General, on behalf of the Cabinet Secretary, the National Treasury, has developed the following Regulations:

1. The draft Income Tax (Residential Rental Income Tax) Regulations, 2026.

2. The draft Income Tax (Set Off Tax Rebate for Graduate Apprenticeships) Regulations, 2026.

Further, in compliance with the same Act and Article 201 of the Constitution, the Commissioner General, on behalf of the Cabinet Secretary, the National Treasury, invites interested members of the public, professionals and stakeholders to submit their inputs and comments for consideration in finalising these Regulations. The draft Regulations have been posted on the Kenya Revenue Authority website. You may download the draft Regulations for your reference.

Please channel your submissions to the Commissioner General, Kenya Revenue Authority, P.O Box 48240-00100, Nairobi or by email to stakeholder.engagement@ kra.go.ke to be received on or before 25th May, 2026.

Integration of the Export Process in iCMS with the VAT Return in iTax

2026-04-23T11:25:43+00:00

Kenya Revenue Authority notifies taxpayers and the public that, effective May 2026, the VAT return export data in ICMS will be integrated with the declaration of zero-rated supplies in the VAT return in iTax.

This means that validated export values will be automatically prefilled in the VAT return upon issuance of the relevant export documents by Customs. The change applies to exports to the Single Customs Territory, other foreign countries, Export Processing Zones (EPZs) and Special Economic Zones (SEZs).

To support accurate prefilling, exporters and their clearing and forwarding agents must capture the exporter’s PIN and valid TIMS/eTIMS zero-rated invoice number when lodging export documents in iCMS. Only export values validated in iCMS and linked to the exporter’s PIN and invoice will be allowed in the VAT return.

Exports of taxable services will also be prefilled in iTax based on generated and transmitted TIMS/eTIMS invoices for the relevant tax period. For further information, contact the KRA Contact Centre on (020) 4 999 999 or 0711 099 999, or email callcentre@kra.go.ke.

Commissioner for Micro and Small Taxpayers

Fringe Benefit Tax and Deemed Interest Rate

2026-05-13T11:51:59+00:00

FRINGE BENEFIT TAX

For the purposes of Section 12B of the Income Tax Act, the Market Interest Rate is 8%. This rate shall be applicable for the three months of April, May and June 2026.

DEEMED INTEREST RATE

For purposes of Section 16(2) (ja) of the Income Tax Act, the prescribed rate of interest is 8%. This rate is applicable for the months of April, May and June 2026

Withholding tax rate of 15% on the deemed interest shall be deducted and paid to the Commissioner within 5 working days.

Commissioner, Micro & Small Taxpayers

ICMS SYSTEM MAINTENANCE RE-SCHEDULED

2026-04-01T13:15:41+00:00

The Kenya Revenue Authority (KRA) wishes to inform Partner Government Agencies, Importers, Exporters, Clearing Agents, Shipping Lines, and the general public that the scheduled maintenance of the Integrated Customs Management System (iCMS), originally planned for Saturday, 4th April 2026 at 1800 Hrs to Monday, 6th April 2026 at 06:00 Hrs, has been RESCHEDULED. This rescheduling follows extensive stakeholder consultations and a strategic assessment of current operations at the Port of Mombasa, the decision underscores the collective commitment of all Government Agencies and the business community to ensure the efficient, smooth evacuation and movement of cargo.

RESCHEDULED MAINTENANCE DATES:

Start: Sunday, 12th April 2026 at 0400 Hrs
End: Sunday, 12th April 2026 at 1100 Hrs

To minimize operational disruptions, stakeholders are advised to:

Pre-lodge Documents – Submit urgent declarations, complete payments, and clear cargo before the scheduled downtime.
Clear Urgent Cargo – Prioritize clearance of perishable and time-sensitive consignments in advance.

This scheduled maintenance expected to deliver the following benefits:

Improved system performance and speed
Enhanced stability and reliability
A better user experience with fewer customer complaints
Strengthened system security
Easier future maintenance

KRA regrets any inconvenience caused by this change of schedule and appreciates the continued cooperation of all stakeholders as we enhance service delivery.

Scheduled Maintenance for the Integrated Customs Management System (ICMS)

2026-03-24T18:01:46+00:00

Kenya Revenue Authority (KRA) wishes to inform Partner Government Agencies, Importers, Exporters, Clearing Agents, Shipping Lines, and the public of a schedule maintenance of the Integrated Customs Management System (iCMS).

Maintenance Dates:

Start: Saturday, 4th April, 2026 at 18:00 hrs

End: Monday, 6th April, 2026 at 06:00 hrs

To minimize operational disruptions, stakeholders are advised to:

1. Pre-lodge Documents - Submit urgent declarations, complete payments, and clear cargo before the scheduled downtime.

2. Clear Urgent Cargo - Prioritize clearance of perishable and time-sensitive consignments in advance.

This scheduled maintenance is expected to deliver the following benefits:

Improved system performance and speed
Enhanced stability and reliability
A better user experience with fewer customer complaints
Strengthened system security Easier future maintenance

KRA regrets any inconvenience caused and appreciates the cooperation of all stakeholders as we continue to improve service delivery.

Commissioner for Customs & Border Control

Pre-Qualification of Vendors for Supply, Operation,Maintenance and Managed Services of Electronic Seals through a Multi-Vendor Framework

2026-03-17T15:48:04+00:00

Kenya Revenue Authority (KRA) invites eligible vendors to submit applications for pre-qualification for the supply, operation, maintenance and managed services of electronic seals under the Multi-Vendor, User-Owned eSeals Framework for the Regional Electronic Cargo Tracking System (EAC RECTS). The services to be provided include:

Supply of Electronic eSeals and Electronic Fuel Seals for cargo trucks and petroleum tankers under Customs control.
eSeal Logistics Services - collection, packaging, transportation, and delivery to designated arming/disarming points.
Repair, Maintenance, Calibration, Charging, and Quality Assurance of seals.

The engagement operates on a self-financing model. Approved Vendors own and maintain the seals and remain fully accountable to KRA for seal performance and integrity. The initial approval period is two (2) years, subject to evaluation reviews.

Minimum Eligibility Requirements:

Valid certificate of incorporation and Communications Authority of Kenya (CAK) licence for electronic tracking equipment.
Valid tax compliance certificate and audited financial statements for the last three (3) years.
Proven experience in vehicular/cargo tracking operations at a scale of not less than 1,000 units.
Regional workshops and maintenance facilities within the EAC, capable of servicing eSeals.
Minimum stock of 1,000 fully operational eSeals available at all times.

All enquiries, petitions, or memoranda may be submitted via email: cmu@kra.go.ke or delivered physically, addressed to the Commissioner of Customs and Border Control, within two (2) weeks from the date of this notice. Detailed terms and conditions of the proposed model, together with the applicable technical specifications for the electronic seals, are also available on the KRA website.

Roll Out of the East African Community (EAC) Bond

2026-03-16T16:53:26+00:00

Following the official launch of the East African Community (EAC) Customs bond by the EAC Heads of State at the summit held on 7th March, 2026, Kenya Revenue Authority (KRA) hereby informs all Customs Agents that the EAC Customs Bond will effectively be rolled out on 23rd March, 2026.

All system enhancements have been finalized in readiness for the roll out.

KRA, together with EAC, will assist and provide all the necessary support for a smooth implementation. We shall sensitize the Customs agents and all relevant stakeholders in the transition and management of the Bond.

Commissioner for Customs and Border Control

MULTI-VENDOR, USER-OWNED ELECTRONIC CARGO TRACKING SEALS

2026-01-30T10:15:21+00:00

Kenya Revenue Authority (KRA) has made progress in its cargo monitoring journey, transitioning from physical Customs escorts to tamper-proof Customs seals, then to multi-vendor seals, and ultimately to the Regional Electronic Cargo Tracking System (RECTS).

RECTS is a web-based cargo tracking and monitoring solution integrated with Customs management systems across the East African Community. Under this system, export and transit cargo moving through Kenya is fitted with electronic seals and monitored centrally. RECTS has significantly reduced cargo clearance times, enhanced cargo security, and improved accountability in transit operations.

To further enhance service delivery under RECTS, and in response to evolving business dynamics, technological advancements, and increased demand, KRA is aligning its cargo monitoring processes with current operational realities. In this regard, KRA wishes to notify stakeholders that it is transitioning to a Multi-Vendor, User-Owned Seals model for both dry cargo (e-seals) and wet cargo (e-fuel) electronic seals. The proposed model is intended to provide a secure, tamper-proof, and auditable cargo monitoring solution, while addressing existing challenges such as seal availability and turnaround times.

KRA therefore invites members of the public and electronic tracking seal vendors to participate in a public engagement process on this transition.

A sensitization and public engagement meeting will be held virtually on Wednesday, 4th February, 2026. Requests for the virtual meeting link, as well as enquiries, petitions, or memoranda, may be submitted via email to cmu@kra.go.ke or delivered physically, addressed to the Commissioner of Customs and Border Control, within two (2) weeks from the date of this notice.

Detailed terms and conditions of the proposed model, together with the applicable technical specifications for the electronic seals, are also available on the KRA website.

Commissioner for Customs and Border Control

Fringe Benefit Tax, Deemed Interest Rate and Low Interest Benefit

2026-01-22T05:04:23+00:00

FRINGE BENEFIT TAX

For the purposes of Section 12B of the Income Tax Act, the Market Interest Rate is 8%. This rate shall be applicable for the three months of January, February and March 2026.

DEEMED INTEREST RATE

For purposes of Section 16(2)(ja) of the Income Tax Act, the prescribed rate of interest is 8%. This rate is applicable for the months of January, February and March 2026. Withholding tax rate of 15% on the deemed interest shall be deducted and paid to the Commissioner 5 working days.

LOW INTEREST BENEFIT

For purposes of section 5(2A), the prescribed rate of interest is 8%. This rate is applicable for the months of January, February, March, April, May and June 2026.

Commissioner for Micro & Small Taxpayers

Common Reporting Standards: Publication of the List of Reportable Jurisdictions

2025-12-19T06:24:16+00:00

The Kenya Revenue Authority (KRA) wishes to inform Reporting Financial Institutions that, pursuant to the provisions of Regulation 2 of the Tax Procedures (Common Reporting Standards) Regulations, 2023 and in accordance with the powers conferred upon the Commissioner under the Tax Procedures Act, Cap 469B, the list of Jurisdictions that will apply for the purposes of the Common Reporting Standard (CRS) has been published.

The reportable jurisdictions are as follows:

Albania, Argentina, Australia, Austria, Azerbaijan, Belgium, Brazil, Bulgaria, Chile, China, Colombia, Cook Islands, Costa Rica, Croatia, Curaçao, Czechia, Cyprus, Denmark, Ecuador, Estonia, Finland, France, Georgia, Germany, Ghana, Gibraltar, Greece, Guernsey, Hong Kong, Hungary, Iceland, India, Indonesia, Ireland, Isle of Man, Israel, Italy, Japan, Jersey, Kazakhstan, Korea, Liechtenstein, Lithuania, Luxembourg, Malaysia, Maldives, Malta, Mauritius, Mexico, Moldova, Monaco, Netherlands, New Zealand, Norway, Panama, Peru, Poland, Portugal, Russia, Rwanda, Saint Kitts and Nevis, Saint Lucia, San Marino, Saudi Arabia, Seychelles, Singapore, Slovak Republic, Slovenia, South Africa, Spain, Sweden, Switzerland, Thailand, Turkey, Uganda, Ukraine, United Kingdom, and Uruguay.

This list is applicable for information returns related to periods beginning 1^stJanuary 2025.

For further information, please contact us on Tel: 0709017997 /0709017935 or email: crs@kra.go.ke

Commissioner for Large and Medium Taxpayers