KRA Gives Taxpayers 100% Relief on Penalties and Interest Under 2026 Amnesty
The Kenya Revenue Authority (KRA) has urged taxpayers with outstanding tax obligations to take advantage of the 2026 Tax Amnesty Programme before the December 31 deadline.
The Kenya Revenue Authority (KRA) has urged taxpayers with outstanding tax obligations to take advantage of the 2026 Tax Amnesty Programme before the December 31 deadline.
The programme offers a 100 per cent waiver on qualifying penalties, interest and fines linked to tax liabilities incurred up to December 31, 2025.
Introduced under the Finance Act, 2026, the amnesty runs from July 1 to December 31, 2026, giving individuals and businesses an opportunity to regularise their tax affairs and clear historical obligations.
Who qualifies?
KRA said taxpayers with outstanding principal tax for periods ending on or before December 31, 2025 can benefit once they settle the principal amount in full by the end of the amnesty period.
Those unable to make a one-off payment can access an Automatic Payment Plan through iTax, provided the entire qualifying principal tax is cleared by December 31.
Once the conditions are met, the corresponding penalties, interest and fines are automatically remitted.
Taxpayers who have already cleared their principal tax but still have outstanding penalties and interest do not need to make a separate application. KRA said the relief is processed automatically through the iTax system.
The same applies to taxpayers who have no outstanding principal tax but have accumulated late-filing penalties. They can qualify by filing all outstanding returns covering periods up to December 31, 2025.
Post-2025 debts excluded
KRA has cautioned that the amnesty does not cover tax liabilities arising from January 1, 2026 onwards.
Penalties, interest and fines associated with post-2025 tax obligations remain payable under the normal tax regime.
Customs duties administered under the East African Community Customs Management Act and agency revenues are also excluded from the programme.
Amnesty processed through iTax
The tax authority said the programme is largely automated, with eligible taxpayers having their records updated once the qualifying conditions are fulfilled.
An Amnesty Certificate and notification will subsequently be made available through the taxpayer’s iTax account.
The authority warned that taxpayers who fail to meet the amnesty conditions by the deadline will remain liable for applicable penalties and interest, with enforcement measures available under the law.
The programme is intended to encourage voluntary compliance while giving taxpayers an opportunity to settle historical tax obligations without the additional financial burden of qualifying penalties, interest and fines.
