Kenya Tax Framework
Kenya Revenue Authority (KRA) administers taxes through the iTax platform. Corporation tax is 30%, VAT at 16%, and PAYE on progressive rates up to 35%. Monthly filing obligations include PAYE, VAT, and withholding tax returns.
🇰🇪 Kenya
Kenya Center
KRA-compliant income tax, VAT, PAYE and iTax services for Kenyan businesses.
40+
Kenya Clients
KRA
iTax Agent
CPA-K
Qualified
48h
Turnaround
Our Services in Kenya
Comprehensive tax, accounting, and advisory services tailored to local regulatory requirements.
Accounting Software Expertise
We work with all leading accounting platforms to deliver seamless cloud-based bookkeeping.
QuickBooks
Sage
Tally
Odoo
ERPNext
Xero
Wave
Zoho Books
SapphireOne
Pesapal
Benefits of Outsourced Accounting
See why businesses worldwide choose PakalaTax for their accounting and tax needs.
| Benefits | Outsourced (PakalaTax) | In-House |
|---|---|---|
| Accuracy | ||
| Affordability | ||
| Minimum Overhead Costs | ||
| 24×7 Availability | ||
| Fraud Prevention | ||
| Quality Assurance | ||
| Productivity | ||
| Flexibility & Scalability |
Cloud Add-Ons Expertise
We integrate with 95+ industry-leading software platforms for accounting and tax compliance.
5+
Mobile Money
6+
Payment Gateways
5+
Cloud Storage
6+
Communication
4+
Banking
4+
HR Systems
Why Choose PakalaTax
We are the first choice for businesses seeking high-quality, cost-effective accounting and tax services.
Experienced & Trained Professionals
With years of industry knowledge and continuous training, our professionals ensure compliance excellence.
Organized Project Management
We use a self-hosted project management system for clear communication and efficient project delivery.
Reduce 50% in Current Costs
Save 40-50% compared to local accountants while getting the same quality of qualified professionals.
Transparent Processes
Clear and transparent processes ensure our clients are fully informed and confident in outcomes.
Faster Turnaround
We respond to emails within the same day or within a maximum of 24 hours. Deadlines are never missed.
Detailed & Regular Updates
Get regular work updates through email with all necessary information for your business operations.
Meetings on the Go
Arrange meetings with our experts anytime for effective communication and convey your needs.
High Quality of Work
Our standardized procedures and detailed checklists ensure error-free, audit-ready deliverables.
Kenyan Tax Services & KRA Compliance
Kenya, East Africa’s largest economy, operates a dynamic tax regime administered by the Kenya Revenue Authority (KRA). With a 30% corporate income tax rate, 16% VAT, and recent introductions like the Digital Services Tax (1.5% on gross turnover for non-resident digital service providers) and the Housing Levy (1.5% employer/employee contribution), Kenyan tax compliance has become increasingly complex. PakalaTax’s Kenya Center provides expert guidance through this evolving landscape.
Our Nairobi-connected team handles all KRA compliance requirements: annual income tax returns (IT2C for companies), monthly VAT returns, PAYE submissions via i-Tax, withholding tax certificates (WHT on management fees, consultancy, dividends, interest, and royalties), and iTax compliance certificates. We also manage quarterly instalment tax payments, turnover tax returns for small businesses, and NSSF/NHIF/Housing Levy payroll deductions.
VAT & Digital Economy Taxation
Kenya’s VAT regime distinguishes between standard-rated (16%), zero-rated (exports, certain agricultural inputs), and exempt supplies. With the expansion of digital taxation, KRA now requires VAT registration for non-resident suppliers of digital services. Our team ensures proper VAT categorisation, input tax apportionment, and timely ETR (Electronic Tax Register) compliance. We also advise on the Excise Duty Act provisions affecting financial transactions, communication services, and betting activities.
Special Economic Zones & Investment Incentives
Kenya offers attractive incentives through Special Economic Zones (10% corporate tax for first 10 years, 15% thereafter), Export Processing Zones, and sector-specific incentives for manufacturing, agriculture, and technology. Our team advises on qualifying criteria, application processes, and ongoing compliance requirements. For foreign investors, we navigate Kenya’s investment protection framework, COMESA/EAC treaty benefits, and the country’s 15+ double taxation agreements.
Key Kenyan Tax Dates
- 20th of following month — PAYE, VAT, and withholding tax returns
- 20th of 4th, 6th, 9th, 12th month — Instalment tax payments
- 6 months after year-end — Annual corporate income tax return
- 9th of following month — NSSF/NHIF/Housing Levy contributions
PakalaTax’s Kenya Center combines local KRA expertise with international best practices. Contact our Kenya team for professional tax and accounting support.
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