Rates current as of June 2026 (Tax Laws (Amendment) Act 2024, in force 27 Dec 2024) — always confirm with KRA before filing. Sources are listed at the bottom of this page.
Basic pay plus all cash allowances and the value of taxable benefits.
Leave blank to auto-apply 2024 Tier I & II (6% to the upper limit).
Add allowable reliefs & deductions (optional)
Deductible up to KES 30,000/mo.
Owner-occupier interest, deductible up to KES 30,000/mo.
Deductible up to KES 15,000/mo.
Earns a 15% relief, capped at KES 5,000/mo. Not SHIF.
Since 27 Dec 2024 SHIF and the Affordable Housing Levy are deducted from gross before PAYE (not a 15% relief).
Standard VAT in Kenya is 16%. Zero-rated (exports, ordinary bread, unprocessed milk) is taxable at 0% — the supplier can still reclaim input VAT. Exempt (financial & insurance services, education, LPG/cooking gas) carries no VAT and the supplier cannot reclaim input VAT.
ToT is 1.5% of gross monthly sales (a final tax, no expense deductions). It applies to resident businesses with annual turnover above KES 1,000,000 and up to KES 25,000,000. It does not apply to rental income, management/professional/training fees, income under final withholding tax, employment income, or limited companies. Filed monthly by the 20th.
Monthly Rental Income tax is 7.5% of gross rent (a final tax — no expenses or interest deducted), for resident landlords with annual residential rent above KES 288,000 and up to KES 15,000,000. Filed and paid on iTax by the 20th of the following month. Above KES 15M (or by written election), rent is taxed under the normal income-tax regime instead.
Rates & sources — current as of June 2026
Figures verified against the Kenya Revenue Authority and the relevant Acts. The Tax Laws (Amendment) Act 2024 came into force 27 December 2024 and changed the PAYE deduction order (SHIF, AHL, higher pension/mortgage caps). Always confirm against KRA before filing.
- PAYE bands & personal relief — KRA PAYE
- PAYE deduction changes (SHIF, AHL, pension/mortgage caps) — KRA Public Notice 2157
- VAT rate, zero-rated & exempt, registration threshold — KRA VAT · PwC Kenya
- Turnover Tax rate & band — KRA Turnover Tax
- Withholding Tax rates (resident & non-resident) — PwC WHT · KRA WHT
- Residential rental income tax (7.5%) — KRA Rental Income
- Full guide — How Kenya tax is calculated (KRA Tax Pro guide)