Kenya VAT Rates 2026
Kenya levies Value Added Tax as VAT (Value Added Tax). The standard rate is 16%, applied to most goods and services. Kenya applies a single flat rate with no reduced rates.
Current rates — 2026
| Type | Rate | Applies to |
|---|---|---|
| Standard | 16% | Most goods and services |
| Zero-rated | 0% | Exports, bread and maize flour, milk, pharmaceuticals, agricultural inputs |
Registration and filing
| Registration threshold | KES 5,000,000Annual taxable turnover (~USD 39,000) |
| Tax authority | Kenya Revenue Authority (KRA) |
| Filing frequency | Monthly iTax returns, due by the 20th of the following month |
Access rates via API
The TaxID API returns current VAT and GST rates for 200+ countries and territories. Use the /api/v1/rates/KE endpoint to get Kenya data programmatically. Responses are cached for 24 hours.
curl http://localhost:3000/api/v1/rates/KE
# No authentication required for rate lookups
# Response:
# { "country_code": "KE", "tax_type": "vat",
# "standard_rate": 16, "reduced_rates": [0],
# "currency": "KES", "last_updated": "2026-06-12" }Fetching the rate in code
// Fetch current Kenya VAT rates (no auth required)
const rates = await fetch('http://localhost:3000/api/v1/rates/KE').then(r => r.json());
// → { standard_rate: 16, reduced_rates: [0],
// currency: 'KES' }
applyRate(rates.standard_rate);About Kenya VAT
Kenya's 16% VAT is enforced through one of Africa's most aggressive digitisation drives: the eTIMS system requires every business expense to be backed by an electronically transmitted invoice to be deductible, effectively making e-invoicing universal. The 2023 move of fuel from 8% to 16% was among the most contested tax measures in recent Kenyan politics. Kenya also taxes the digital economy hard — non-resident digital service providers must register and charge 16% VAT, alongside a separate digital service levy regime.
VAT in Kenya is administered by the Kenya Revenue Authority (KRA).
Sources: PwC Worldwide Tax Summaries · Kenya Revenue Authority (accessed Jun 2026)
Rate history
- 20188% rate introduced for fuel (later removed)
- 2023Finance Act moved fuel to the full 16% rate
Frequently asked questions
What is the VAT rate in Kenya in 2026?
16% standard, with zero-rating for exports, basic foods like bread and milk, and medicines.
What is eTIMS in Kenya?
KRA's electronic Tax Invoice Management System — invoices must be transmitted through it for the buyer to deduct the expense, making it a de facto e-invoicing mandate.
Related concepts and guides: