BUSINESS

KRA Launches Digital Platform to Ease Rental Tax Compliance

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A section of KRA office. PHOTO/@KRACorporate/X
A section of KRA office. PHOTO/@KRACorporate/X
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The Kenya Revenue Authority (KRA) has unveiled a new digital platform known as the Electronic Rental Income Tax System (eRITS) to make it easier for landlords and property owners to pay rental taxes.

In a notice issued on Thursday, KRA announced that the system will simplify the payment of Monthly Rental Income (MRI) taxes.

“On Boarding of Rental Properties on eRITSKenya: The Revenue Authority (KRA) wishes to notify the public that it has rolled out an Electronic Rental Income Tax System (eRITS), which will facilitate easier payment of Monthly Rental Income (MRI).

The system enables management of properties and filing and payment of rental taxes simply and conveniently,” KRA stated.

The taxman urged landlords and property owners to update or correct their property details in the new system to ensure proper reporting.

“We urge all persons owning rental properties and earning rental income to update/correct their property details as appropriate in the new KRA system. KRA is committed to continuing to support and facilitate all taxpayers to comply with the requirements of the existing laws through simplified solutions. For any clarification and feedback on the registration of the properties on eRITS or challenges experienced.”

It can be accessed through https://erits.kra.go.ke or via the eCitizen public portal.

The launch of eRITS comes at a time when the government has already reduced the MRI tax rate from 10 per cent to 7.5 per cent, a change that took effect in January 2024.

KRA Commissioner General Humphrey Wattanga said eRITS is built to improve service delivery by linking with platforms such as eCitizen and Gava Connect.

The system is seen as a major step in modernising tax administration in Kenya’s rental sector, which remains an important driver of the economy.

It is also expected to expand the tax base and curb non-compliance among landlords who underreport or fail to declare rental income.

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