The Lower Eastern Times Opening The Third Eye
The Kenya Revenue Authority (KRA) has announced a significant change to the country’s tax calendar, shifting the deadline for filing Individual Income Tax Returns from June 30 to April 30.
The change, contained in the Finance Act 2026 and signed into law by President William Ruto, will take effect on January 1, 2027.
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According to KRA, the adjustment is aimed at improving efficiency in tax administration. By setting the filing deadline four months after the close of the tax year, the authority gains additional time to review submissions, validate taxpayer data, and prepare ahead of the next fiscal cycle.
Treasury Cabinet Secretary John Mbadi said the shift would help eliminate the last-minute rush that has historically overwhelmed the iTax system, where millions of Kenyans typically scramble to file returns in the final days of June.
For years, the June 30 deadline has been associated with long queues at KRA offices, system crashes, and frustrated taxpayers unable to access the platform. Officials expect the new April 30 deadline to spread out filing activity over a longer period, easing congestion and reducing technical hitches.
KRA Commissioner General Adan Mohamed told Parliament’s Finance Committee in June that staggering the deadlines would also allow the authority more room to conduct compliance checks and validate data before the start of the new financial year.
The change mainly affects individual taxpayers, including employees under the Pay As You Earn (PAYE) system, self-employed individuals, and residents with mixed sources of income. Partnerships will also be required to comply with the new April deadline. Companies and other non-individual taxpayers, however, will continue filing by the last day of the sixth month after their accounting period ends, effectively keeping the June 30 deadline for corporate filers.
Penalties for late filing remain unchanged. Individuals who miss the April 30 deadline will face a fine equivalent to 5 percent of the tax due or Sh2,000, whichever is higher, while companies face a penalty of 5 percent of the tax due or Sh20,000, whichever is higher.
KRA has encouraged taxpayers to adjust their compliance schedules early and begin preparing their records well ahead of the new deadline.
The Finance Act 2026 also introduced additional reforms, including new import documentation requirements and updated rules governing rental income reporting for non-residents. The National Treasury has stressed that this adjustment forms part of a broader push to modernize tax administration, strengthen compliance, and boost revenue collection.
Officials say KRA will continue upgrading the iTax platform to better handle increased traffic and to offer pre-filled returns based on data submitted by employers and businesses.
