HomeKenyaEconomyKRA offers tax amnesty ahead of December deadline

KRA offers tax amnesty ahead of December deadline

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The Kenya Revenue Authority has announced a tax amnesty giving taxpayers relief from interest, penalties and fines built up on unpaid taxes.

The amnesty runs from July 1 to December 31, 2026, and covers interest and penalties only, not the tax owed itself. Taxpayers with no outstanding principal tax automatically qualify for a waiver on accumulated interest and penalties. Those who still owe the original tax must pay it in full by December 31, 2026, to benefit, and can use automatic payment plans on iTax if they cannot pay in one lump sum.

Why it matters for taxpayers

KRA said taxpayers with unfiled returns must submit them during the amnesty period to qualify. It stressed that using an instalment plan does not extend the December deadline, so the full principal must still be cleared by then.

The announcement comes days after KRA’s iTax system developed a fault that stopped employers filing August Pay As You Earn returns, with the September 9 deadline approaching. KRA asked affected taxpayers to email returns to its call centre for manual processing while it fixed the glitch, warning that late PAYE filing attracts a penalty of 25 per cent of the tax due or Sh10,000, whichever is higher.

Sources: Pulse Live Kenya; Kenyans.co.ke

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