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What does your property owe KRA?

Rental income, an Airbnb-style short stay, or a sale — pick one, enter the numbers, and see which tax applies, the yearly bill, and what to set aside each month.

Monthly Rental Income tax 7.5% Turnover Tax (short stays) 1.5% Capital Gains Tax 15%

Long-term rental

For ordinary residential leases. Enter what all your units bring in each month.

KES
KES
Only counts if yearly rent is above KES 15,000,000 — MRI itself allows no deductions.

Pre-filled with example figures — replace them with your own.

Know a landlord, host or agent who needs this?

Send it on — it's free, works on any phone, and opens on the calculator you're looking at.

For property agents

On Four Love, this runs by itself.

Every rent payment, short-stay booking and sale you record gets taxed out automatically — so you're never guessing what to set aside.

  • Tenants pay rent by M-Pesa or Airtel Money, and every payment records itself
  • A filing summary ready for eRITS and iTax each month
  • Free to list, with a public commission rate that drops as you close more deals
  • Bringing over already-tenanted units? No placement fee on existing leases

Kenya property tax, answered

How much is rental income tax in Kenya?

Resident landlords earning more than KES 288,000 and up to KES 15 million a year in residential rent pay Monthly Rental Income (MRI) tax at a flat 7.5% of gross rent. It is a final tax, so expenses cannot be deducted, and it is filed monthly on KRA's eRITS portal by the 20th of the following month. Above KES 15 million a year, rent is taxed under the normal graduated income tax bands instead.

Do Airbnb hosts in Kenya pay rental income tax?

Short-stay hosting is treated as business income, not residential rent, so MRI does not apply. If annual turnover is between KES 1 million and KES 25 million, it is taxed as Turnover Tax at 1.5% of gross turnover — a final tax filed monthly on iTax. Below KES 1 million or above KES 25 million, profit is taxed under the graduated income tax bands instead.

When does a short-stay host need to register for VAT?

Once turnover passes KES 5 million a year. VAT at 16% is charged to guests on top of the nightly rate and paid over to KRA separately — it is not part of the Turnover Tax estimate in this calculator.

How is Capital Gains Tax on a property sale calculated in Kenya?

Capital Gains Tax is 15% of the net gain: the sale price minus what the seller originally paid for the property and incidental costs such as legal fees, valuation and agency commission. The seller pays it on iTax, and KRA will not register the transfer until it has been settled.

What are Kenya's graduated income tax bands?

On annual taxable income: 10% on the first KES 288,000, 25% on the next KES 100,000, 30% on the next KES 5,612,000, 32.5% on the next KES 3,600,000, and 35% on everything above KES 9,600,000. They apply to rental or short-stay income only when it falls outside the flat MRI or Turnover Tax ranges.

Can Four Love work this out automatically for my properties?

Yes. Agents who manage properties on Four Love get these estimates calculated automatically from the rent payments, short-stay bookings and sales recorded on the platform, with a filing summary ready for eRITS and iTax.

Is this calculator tax advice?

No. It applies KRA's published rates to the numbers you enter and does not account for reliefs, other income or your filing status. Confirm your position with KRA or a licensed tax advisor before you file or pay.

Estimates only. Rates used: Monthly Rental Income tax 7.5% (KES 288,001 – 15,000,000 a year), Turnover Tax 1.5% (KES 1,000,000 – 25,000,000 a year), Capital Gains Tax 15% of net gain, and the Finance Act 2023 graduated bands otherwise. Not tax advice — confirm your position with KRA or a licensed tax advisor.