The KRA tax amnesty 2026 is a six-month programme, running from July 1, 2026, that waives penalties and interest on tax debt built up in Kenya before December 31, 2025. It does not waive the actual tax owed — only the penalties and interest attached to it.
Who qualifies for the KRA tax amnesty? There are two scenarios. First, if you've already cleared your principal tax, the waiver on penalties and interest is automatic — no application needed. Second, if you still owe principal tax, you have until December 31, 2026 to pay it through iTax, and the penalties and interest tied to it are waived once you do.
What happens if you miss the deadline? If you still owe principal tax after December 31, 2026, the amnesty window closes and the waived penalties and interest are reinstated, along with anything accrued since.
A lot of Kenyan business owners treat old KRA balances as a cost to deal with 'eventually.' This amnesty is exactly why that assumption is expensive right now — the discount on the table disappears the day the window shuts.
The part that trips people up isn't the concept, it's their own KRA ledger. Legacy system balances, current-year tax, and genuinely disputed amounts often sit mixed together on the same account, making it hard to know exactly what's owed.
At Hilltech Consultants in Nairobi, we're currently reviewing client KRA ledgers to confirm exact amnesty eligibility and how much it could save before the window closes. If you're not sure what your account actually shows, that's the first thing worth checking.
