Income Tax Withholding Kenya

8 if the beneficiary holds at least 25 of the capital of the company paying the dividends.

Income tax withholding kenya. One is required to declare the income and the withholding tax certificates upon filing individual tax returns and pay any tax due what is the penalty for late filing. Kenya for the use of immovable property the tenant or agent is required to withhold tax at 30 on the payment. Employment income is defined broadly and includes amounts paid outside kenya. Fill the withholdee pin number and the itax system will auto generate their information including names email and addresses.

The income taxable in kenya from non resident ship owners will comprise all income of a non resident shipping line including income from delay in taking delivery of goods or returning any equipment used for the transportation of goods shall be deemed as income derived from kenya. Employment income in their kenya taxable income. Withholding tax is deducted at source from several income like. Either 5 of the tax payable or twenty thousand shillings.

Other tax resident persons in kenya. The tax on this is 2 5 of the gross amounts received and is. Taxable income income tax is imposed on all income accruing in or derived from kenya. For this procedure we will use the withholding tax on consultancy fees in kenya for income above kshs.

Income tax rate based on nse listing. Dividends received by a company resident in kenya from a local subsidiary or associated company in which it controls directly or indirectly 12 5 or more of the voting power. Fringe benefits are taxable to the employee at either actual or deemed cost. General provisions in relation to wht on rental income the commissioner shall appoint withholding agents and notify them.

Withholding tax is not a final tax. Interest from banks at 15 dividends at 5. Natural resource income w e f. What is exempt from withholding tax.

No kenya tax is due if subject to tax in zambia. Withholding tax in kenya is tax that is deductible from certain classes of income at the point of making a payment to a non employee. It can be pre payment or a final tax. Withholding tax rates on interest management fees and royalties paid to non residents taxpayers is at the rate of five per cent 5.

The person making the payment is responsible for deducting and remitting the tax to kenya revenue authority kra. This provision has always been in existence and the wht deducted is the final tax on the non resident landlord. Dividends received by a company resident in kenya from a local subsidiary or associated company in which it controls directly or indirectly 12 5 or more of the voting power. Dividends paid by sez to non resident persons are exempt from income tax.

Statutory income tax is at the rate of thirty per cent 30.