KRA Tax Deadlines and Penalties in Kenya 2026: The Complete Calendar
Every key KRA deadline for individuals and businesses -- PAYE, VAT, Turnover Tax, instalment tax and annual returns -- and what late filing really costs.
Most KRA penalties are not caused by tax people cannot afford — they come from missed deadlines. A forgotten nil return or a late PAYE remittance can cost thousands of shillings in penalties and interest. This calendar puts every major deadline in one place.
Monthly Deadlines
| Obligation | Deadline |
|---|---|
| PAYE (employers) | 9th of the following month |
| NSSF contributions | 9th of the following month |
| SHIF contributions | 9th of the following month |
| Affordable Housing Levy | 9th working day after the end of the month |
| Withholding tax | 5th working day after deduction |
| VAT returns and payment | 20th of the following month |
| Turnover Tax | 20th of the following month |
| Excise duty | 20th of the following month |
| Monthly rental income tax | 20th of the following month |
Annual and Periodic Deadlines
| Obligation | Deadline |
|---|---|
| Individual income tax return (including nil returns) | 30 June for the previous year |
| Company income tax return | Last day of the 6th month after the financial year-end |
| Instalment tax | 20th day of the 4th, 6th, 9th and 12th months of the financial year |
| Balance of tax | Last day of the 4th month after year-end |
Penalties at a Glance
| Offence | Penalty |
|---|---|
| Late individual income tax return | 5% of tax due or KES 2,000, whichever is higher |
| Late company income tax return | 5% of tax due or KES 20,000, whichever is higher |
| Late PAYE remittance | 25% of the tax due or KES 10,000, whichever is higher |
| Late VAT return | KES 10,000 or 5% of tax due, whichever is higher |
| Late Turnover Tax return | KES 1,000 per month late |
| Late payment of any tax | Interest of 1% per month on the unpaid tax |
Penalty rules are set by the Tax Procedures Act and Finance Acts and can change; KRA's website has the current schedule.
How to Stay Compliant
- Set calendar reminders for the 9th and 20th of every month.
- File nil returns whenever you have no income or sales — a missed nil return still attracts a penalty. See our nil returns guide.
- Issue invoices through eTIMS so your sales and your customers' expenses are recognised.
- Keep records for at least five years.
- Apply for waivers on iTax if you were penalised for a genuine reason; KRA also runs periodic tax amnesty programmes on penalties and interest.
A Sample Month for a Small Employer
| Date | Task |
|---|---|
| 1st — 5th | Run payroll for the previous month; compute PAYE, NSSF, SHIF and Housing Levy |
| By the 5th working day | Remit any withholding tax deducted |
| By the 9th | Remit PAYE, NSSF and SHIF; file the PAYE return |
| By the 9th working day | Remit the Housing Levy |
| By the 20th | File and pay VAT or Turnover Tax and any monthly rental income tax |
| Month end | Reconcile eTIMS invoices, bank and M-Pesa records |
How Interest and Penalties Add Up
Suppose a business fails to pay KES 100,000 of PAYE for three months. It faces a late payment penalty (25% of the tax or KES 10,000, whichever is higher — here KES 25,000) plus interest at 1% per month (about KES 3,000 over three months). A KES 100,000 liability becomes roughly KES 128,000 — before any enforcement action. Paying on time is almost always cheaper than borrowing to cover a late payment.
When to Get Professional Help
Consider a tax agent or accountant if you have employees, are registered for VAT, receive rental income alongside a business, or have received KRA notices or assessments. A professional costs less than repeated penalties and can help you apply for waivers or amnesty where you qualify.
Deadlines That Fall on Weekends or Holidays
When a statutory deadline falls on a weekend or public holiday, check KRA's guidance for that period; payments made through banks and M-Pesa may need to be initiated earlier to clear in time. The safest habit is to file and pay a few days before the deadline rather than on the day, which also protects you from portal slowdowns at month end and around 30 June.
KRA Deadlines -- FAQ
What is the deadline for filing KRA returns in 2026?
Individuals must file their annual income tax return for 2025 by 30 June 2026. Monthly obligations like PAYE are due by the 9th and VAT and Turnover Tax by the 20th.
What is the penalty for not filing a nil return?
The late-filing penalty for individuals is KES 2,000 or 5% of tax due, whichever is higher, even when no tax is owed.
Can KRA waive penalties?
You can apply for a waiver of penalties and interest on iTax with reasons. KRA also periodically offers amnesties.
What is the deadline for PAYE in Kenya?
Employers must remit PAYE and file the monthly return by the 9th of the following month.
Does KRA send reminders?
KRA sends some reminders by SMS and email, but the obligation is yours. Set your own calendar reminders for the 9th, the 20th and 30 June.
Final Thoughts
Tax compliance in Kenya is mostly a calendar discipline: the 9th for payroll taxes, the 20th for VAT and TOT, and 30 June for annual returns. Put the dates in your calendar, file nil returns when needed, and get professional support if your business has several obligations.