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KRA Tightens Grip on Landlords With New Rental Tax Rules

Under the proposals, landlords would be required to register their properties in a centralized KRA system

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KRA seeks to introduce mandatory digital registration of rental properties. (Photo: Web)
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The Kenya Revenue Authority (KRA) is seeking public input on ambitious new regulations that will significantly strengthen oversight of residential rental income from thousands of landlords across the country.

Through the draft Income Tax (Residential Rental Income Tax) Regulations, 2026, which would replace the existing 2016 framework, KRA seeks to introduce mandatory digital registration of rental properties and enforce stricter payment deadlines for monthly tax returns.

Under the proposals, landlords would be required to register their properties in a centralized KRA system and file returns every month, remitting any tax due by the 20th day of the month following rent collection.

The proposed regulations also grant the authority broader enforcement powers, including the ability to request detailed financial records, summon taxpayers and demand regular updates on property information.

The measures aim to curb underreporting and improve collection in a sector long viewed as a compliance weak spot.

In a notice inviting stakeholder feedback, the KRA’s Commissioner General urged interested members of the public, professionals and stakeholders to submit comments by May 25, 2026, to help finalise the rules.

Written by
JUSTUS KIPRONO -

Justus Kiprono is a freelance journalist based in Nairobi, Kenya. He tracks Capital Markets and economic trends, infrastructure reform, government spending, and the financial impacts of state decision-making nationwide. You can reach him: [email protected]

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