KRA waives Ksh140B in tax penalties and curiosity

The Kenya Revenue Authority (KRA) has introduced a Ksh140 billion waiver in penalties, curiosity and fines underneath the continuing Tax Amnesty Program.

In an announcement on Monday, March 3, 2025, the taxman introduced that the programme, launched on December 27, 2024, has benefited over 1.9 taxpayers already.

“With over 1.9 million taxpayers already benefiting, this initiative, launched on 27th December 2024, continues to provide relief to those who qualify.
The Amnesty program re-introduced in the Tax Procedures (Amendment) Act, 2024 provides a crucial opportunity for taxpayers to clean their tax records, offering a waiver on penalties, interest and fines for tax debts accrued up to 31st December 2023, underscoring KRA’s commitment to helping taxpayers resolve past tax issues without facing the full financial burden. The program runs until 30th June 2025,” KRA said.

The taxman says because the re-launch of the Tax Amnesty program, KRA has efficiently collected Ksh4 billion in principal tax funds.

The programme entails an automated waiver the place taxpayers who’ve paid their principal taxes due earlier than December 31, 2023, robotically qualify for a waiver of associated penalties and curiosity and needn’t make an software.

To qualify for the programme, taxpayers with excellent principal taxes as much as December 31, 2023, should apply by way of the iTax system and submit a structured fee plan for full settlement of the excellent principal taxes by June 30, 2025.

Tax money owed arising from January 1, 2024, and past don’t qualify for amnesty. All penalties, curiosity, and principal taxes for money owed incurred after this date stay payable.

“Taxpayers involved in ongoing tax disputes are encouraged to resolve the disputes through the Alternative Dispute Resolution (ADR) to ensure a swift resolution before the amnesty deadline. This initiative is a part of KRA’s broader efforts to foster voluntary compliance and provide relief to taxpayers burdened by past debts. It offers a unique chance to settle tax matters on favourable terms and to move forward on a clean slate,” KRA added.

KRA has additionally inspired eligible taxpayers to take full benefit of the amnesty earlier than the June 30, 2025.