The Kenya Revenue Authority (KRA) has reintroduced a tax amnesty programme that grants a 100 percent waiver of penalties, interest and fines on eligible tax liabilities accrued up to December 31, 2025.
The programme, introduced under the Finance Act, 2026, took effect on July 1, 2026, and will remain in force until December 31, 2026.
Who Qualifies for the Tax Amnesty?
According to KRA, taxpayers who had fully settled their principal tax by December 31, 2025, will automatically receive a waiver of any outstanding penalties and interest without the need to submit an application.
Taxpayers with only late filing penalties will also benefit from an automatic waiver once they file all outstanding tax returns.
Options for Taxpayers With Outstanding Principal Tax
Taxpayers who still owe principal tax for periods before January 1, 2026, can also qualify for the amnesty by paying the outstanding principal amount in full before the programme ends.
Those unable to make a lump-sum payment may apply for a structured payment plan through the iTax system, provided the full principal tax is cleared by December 31, 2026.
2026 Tax Liabilities Not Covered
KRA has clarified that the amnesty does not apply to tax obligations arising from January 1, 2026, onwards.
Such liabilities remain payable in full, together with any applicable penalties and interest accrued under existing tax laws.
The authority is encouraging eligible taxpayers to take advantage of the six-month window to regularize their tax affairs and clear outstanding obligations under the favourable terms offered by the amnesty programme.
