KRA Issues New Tax Guidance for Kenyans Abroad Who Own Rental Property

The Kenya Revenue Authority (KRA) has issued new guidance for Kenyans living abroad and other non-residents who earn rental income from property in Kenya.

The guidance follows changes introduced under the Finance Act 2026. KRA says the changes provide a simplified framework for non-residents earning rent from property situated in the country.

Under the framework, non-resident property owners who are responsible for handling their own tax must register, file and pay it by the 20th day of the month following the month in which they earned the rent.

The filing and payment arrangement differs where a resident agent withholds tax on the landlord’s behalf. KRA has therefore urged owners to establish which arrangement applies to them.

That distinction may be especially relevant to Kenyans abroad who rely on relatives or property managers to collect rent. Having someone manage a building does not, by itself, tell an owner whether that person is handling the tax.

KRA has advised landlords to review how their rental income is registered and declared. They should also check their payment records and confirm whether tax is being withheld where required.

Where another person is responsible for withholding tax, the landlord should establish whether the amount has been remitted to KRA. A withholding certificate is issued after remittance.

The guidance also draws attention to the location of the property. Rental income from property in Kenya remains subject to Kenyan tax obligations even when its owner lives outside the country.

For affected landlords, the practical step is to identify who receives the rent, who handles the tax and whether the records reflect the arrangement being used.

KRA’s latest notice puts non-resident property owners on alert to review those details and meet the applicable filing or withholding requirements.