The Kenya Revenue Authority (KRA) has given taxpayers with old tax debts another chance to put their tax affairs in order without carrying years of accumulated penalties and interest on their backs.
The 2026 Tax Amnesty Programme took effect on July 1 and will run until December 31, 2026. Under the programme, eligible taxpayers can receive a 100 per cent waiver on penalties, interest and fines attached to tax debts that accrued on or before December 31, 2025.
There is, however, an important condition that taxpayers need to understand before celebrating. The amnesty does not cancel the actual tax debt. If you owe principal tax, that amount still has to be paid. What KRA is offering to write off is the additional financial burden that has accumulated on top of the principal tax.
For someone who has watched a relatively small tax bill grow into an intimidating figure because of penalties and interest, this could provide a much-needed opportunity to start afresh.
Who qualifies for the 2026 KRA tax amnesty?
The programme covers tax liabilities and debts accrued up to December 31, 2025. Any tax liability arising from January 1, 2026 onwards is outside the amnesty and remains payable under the normal tax rules.
Taxpayers fall into different categories depending on their tax position.
If you had already paid all your principal tax by December 31, 2025 but still had penalties and interest showing on your account, KRA says you do not need to make an application. The waiver is processed automatically through iTax.
There is also relief for taxpayers who do not owe principal tax but have accumulated late filing penalties. Once all outstanding returns have been filed, the qualifying penalties are automatically waived.
For taxpayers who still have outstanding principal tax from before 2026, there are two main ways to qualify.
1. Pay the principal tax in full
The simplest route is to clear the outstanding principal tax during the amnesty period.
According to KRA, taxpayers can pay the eligible principal amount at any point between July 1 and December 31, 2026. Once the principal tax is fully settled, the corresponding qualifying penalties and interest are waived.
This is worth checking carefully before making a payment because the amount displayed by iTax may include penalties and interest alongside the principal.
KRA has warned that taxpayers should check their tax ledger and, where necessary, adjust the payment amount so that they settle the outstanding principal tax rather than paying amounts that are supposed to be waived.
In simple terms, do not let a computer screen bully you into paying money that the amnesty is designed to remove.
2. Apply for a structured payment plan
Not everyone has enough money sitting in a bank account to clear a large tax debt in one dramatic swipe.
For such taxpayers, KRA has provided a structured payment option through iTax.
To begin, log into your iTax account and go to the Payments menu. Select “Apply Payment Plan (new)” and choose the relevant tax period or periods covered by the amnesty.
After initiating the plan, go back to the Payments section and select “Payments Registration”. You will then select the relevant tax head, tax sub-head and tax period before confirming the amount to be paid.
KRA says taxpayers should, where necessary, edit the amount so that the payment covers the outstanding principal tax only.
The most important part of a payment plan is the deadline. Every principal tax amount covered by the arrangement must be fully paid by December 31, 2026. Failure to complete the payments within the amnesty period could mean losing the benefit.
3. File all missing returns if you only owe penalties
Some taxpayers may discover that their KRA problem is not an unpaid tax bill at all.
Instead, they may have accumulated penalties because they failed to file returns on time.
If you fall into this category and have no outstanding principal tax, KRA says you can qualify for the waiver by filing all your outstanding returns. The qualifying late filing penalties are then processed for automatic waiver.
This makes it worthwhile to check your iTax account before reaching for your wallet.
You may be carrying a penalty that can be resolved simply by bringing your filing records up to date.
4. Deal with disputed tax debts early
Taxpayers should also be careful where the amount appearing on their iTax account is disputed.
KRA has encouraged taxpayers to resolve pending objections, appeals, amendments, missing payments and other reconciliation issues before the amnesty closes. This is because an incorrect principal tax figure can complicate the process of accessing the relief.
Taxpayers involved in active litigation at the courts or the Tax Appeals Tribunal can use KRA’s Alternative Dispute Resolution framework to settle eligible principal tax amounts. Once the principal amount is resolved and settled through the appropriate process, the amnesty benefit can be unlocked.
The lesson here is simple: do not wait until December to start chasing a tax dispute that has been sitting untouched for months.
5. Check your amnesty certificate after payment
Once the qualifying principal tax has been fully paid, KRA says the iTax system removes the eligible penalties, interest and fines and generates an amnesty certificate.
The certificate is sent to the email address registered on the taxpayer’s iTax account. It can also be downloaded through the iTax profile under the relevant certificates and debt enforcement section.
Taxpayers should keep the certificate safely as proof that the amnesty was granted.
It is also wise to check the tax ledger after making payments rather than assuming that everything has disappeared immediately.
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