Turnover tax is a simple tax for small businesses: a percentage of gross sales, with no accounts of expenses needed. KRA’s published rate is 1.5%.
Turnover tax calculator
Monthly turnover tax on the gross sales of a small business in Kenya.
Who it is for
- Resident businesses with a gross turnover of more than KES 1,000,000 and not more than KES 25,000,000 a year.
- It is filed and paid monthly on iTax, by the 20th of the following month.
- A business can opt for ordinary income tax on its profit instead, which may be cheaper if its margins are thin.
Some businesses, such as professional services and companies, are excluded, and the rate has changed several times, so check KRA’s current rules. See Registering a business in Kenya.