Tax Consulting

TAXATION SERVICES IN KENYA

Taxation and Tax Compliance

Tax compliance can be extremely complex undertaking especially due to the ever-changing income tax laws in Kenya.

A lot of management time is taken up in tax administration and keeping up with changes in tax rules and regulations.

As a tax consultancy firm in Kenya, we help you manage your taxes by advising on tax-efficient ways to conduct your business, ensuring compliance, and keeping you abreast of new tax developments.

Our team of qualified Tax Experts is always prepared to help you determine the kind of tax obligation that is appropriate for your business.

We’ll also work with you to prepare accurate tax returns on monthly or annual basis with a view of minimizing business risks of unforeseen tax liabilities.

Main Tax Obligations in Kenya;

Corporation Tax:

Corporation tax in Kenya is a form of income tax that is levied on companies and branches.

Resident companies are taxable at a rate of 30% while non –resident companies and branches are taxable at a rate of 37.5%. Corporate tax is paid in instalments

PAYE:

Pay as you Earn in Kenya is a method of collecting tax at source from individuals in
gainful employment.

The employer deducts a certain amount of tax from his / her employee’s salary or wages on each payday then remit the tax to the Authority.

This relieves the employee from paying taxes at the end of the year and shifts the responsibility to the employers.

Withholding Tax:

Withholding taxes in Kenya are deducted at source from the following sources of income:

Interest, dividends, royalties, management or professional fees, training, commissions, pension or retirement annuity, rent, appearance or performance fees for entertaining, sporting or diverting an audience.

Value Added Tax (VAT) :

Value Added Tax (VAT) is a tax on consumer expenditure. VAT is levied on consumption of taxable goods and services supplied or imported into Kenya and is collected by registered persons at designated points who then remit it to the KRA.

Advance Tax in Kenya:

Advance tax is applicable to Matatus and other commercial Vehicles.

Any advance tax paid in Kenya becomes credit available for offset against the corporate tax liability.

Residential Rental Income:

The landlords pay residential rental income tax under a special category of tax specific to their needs.

The taxpayers are not allowed any expenses or capital expenditure.

The tax rate under this special category is 10 % of monthly rental income.

The rental tax is based on the gross rental income collection per month and is payable by 20th of the following month.

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Why Work With Us

Our consultants will help you identify areas to establish more efficient procedures, cut costs and implement technology to streamline and automate your operations.