Kenya Finance CalculatoreTIMS Compliance
All registered businesses in Kenya are required to generate electronic tax invoices via KRA eTIMS for all commercial sales and input tax deductions.
Tax & commercial tools
KRA VAT & Turnover Tax Calculator Kenya
Add or extract 16% VAT on customer quotes and invoices, or compute your monthly 3% Turnover Tax (TOT) liability.
Kenya Commercial Tax Rates
Statutory indirect taxes administered by the Kenya Revenue Authority.
| Income Band / Category | Rate / Limit | Notes |
|---|---|---|
| Standard VAT Rate | 16% | Applies to standard goods, commercial services, and digital supplies |
| Turnover Tax (TOT) | 3% | Applies to gross receipts for SMEs (KSh 1M to 25M annual turnover) |
| Zero-Rated Supplies (0%) | 0% | Exported goods and international transport |
| Withholding VAT (WHVAT) | 2% | Deducted by appointed government and corporate withholding agents |
Input vs Output Tax
VAT payable to KRA equals Output VAT charged to your customers minus Input VAT paid on your business purchases and commercial utilities.
Quick Answers
VAT & Turnover Tax FAQs
What is the standard VAT rate in Kenya?
The standard Value Added Tax (VAT) rate in Kenya is 16% on taxable goods and services. Certain petroleum products are charged at 8%, while exports and basic foodstuffs are zero-rated (0%) or exempt.
What is the VAT registration threshold in Kenya?
Under the VAT Act 2013, any business with annual taxable turnover exceeding KSh 5,000,000 is required to register for VAT on KRA iTax and issue eTIMS compliant tax invoices.
What is KRA Turnover Tax (TOT)?
Turnover Tax is a simplified final tax charged at 3% on gross monthly sales for small businesses with annual revenue between KSh 1,000,000 and KSh 25,000,000.
When are VAT and Turnover Tax returns due?
Both VAT and Turnover Tax returns and payments must be filed and remitted on KRA iTax on or before the 20th day of the following month.
August 2026
Calculators are for planning and estimation only. Verify final tax, payroll, loan, investment or property figures with the relevant institution or adviser.