Kenya Withholding Tax (WHT) Calculator
Determine statutory KRA withholding tax rates on professional fees, management consulting, rent, dividends, royalties, and 2% Withholding VAT.
📑 Transaction & Payment Details
Total withholding tax to be deducted and remitted directly to KRA by 20th of next month.
Withholding Tax Schedule Matrix Income Tax Act Cap 470
| Line Item | Statutory Basis | Amount (KES) |
|---|
❓ Frequently Asked Statutory Questions
What are the standard Withholding Tax (WHT) rates in Kenya for residents?
Under Section 35 of the Kenya Income Tax Act (Cap 470), key resident withholding rates include: (1) Professional, management, and training fees: 5% (where aggregate exceeds KES 24,000 per month); (2) Dividends: 5%; (3) Qualifying interest: 15%; (4) Commercial/Residential rent on immovable property: 10%; (5) Royalties: 5%; (6) Contractual construction works: 3%.
What are the Withholding Tax rates for non-residents in Kenya?
For non-resident persons without a permanent establishment in Kenya, statutory withholding taxes are typically final taxes levied at: Management, professional, and consulting fees: 20%; Royalties: 20%; Rent on immovable property: 30%; Dividends: 15%; Interest: 15%, unless reduced by an applicable Double Taxation Agreement (DTA).
What is Withholding VAT (WHVAT) and how does it operate?
Under Section 42A of the Tax Procedures Act, appointed Withholding VAT agents (mostly government bodies and large corporations appointed by KRA) must withhold 2% of the taxable value of standard-rated (16%) supplies. The supplier receives the remaining 14% VAT and credits the 2% WHVAT certificate against their monthly VAT return.
When must Withholding Tax be remitted to KRA via iTax?
Withholding tax must be remitted to the Kenya Revenue Authority (KRA) via the iTax platform on or before the 20th day of the month following the month in which the deduction was made. Late remittances incur a penalty of 5% of the tax due and late payment interest of 1% per month.
Is Withholding Tax in Kenya a final tax or an advance tax credit?
For resident individuals and companies, WHT on professional fees, consultancy, rent, and contract works is an advance tax. The taxpayer receives an official KRA WHT certificate and claims the withheld tax as a credit against their final annual corporate income tax or individual income tax liability. For non-residents, WHT is almost universally a final tax.
Engr. Muhammad Shahzad
Verified Tax & Statutory Systems SpecialistCertified Systems Engineer and International Fiscal Policy Researcher. Specializing in computational labor standards, statutory payroll compliance, and tax withholding architectures across Commonwealth and East African Community (EAC) jurisdictions.