Kenya Monthly Rental Income (MRI) Tax Calculator

This figure is

Gross rent received (KES)

KES

Rental income tax rate

7.5% of gross rent since January 2024. Editable, since rates change with Finance Acts.

Rental income tax due each month

KES7,500.00

Monthly rentKES 100,000.00

Tax per month (7.5%)KES 7,500.00

Annual rentKES 1,200,000.00

Tax per year (7.5%)KES 90,000.00

The essentials

Rental income tax in Kenya, at a glance

7.5%

Charged on gross rent received since January 2024, reduced from 10%. No deduction for expenses is allowed.

288K to 15M

Applies to residential rent of more than 288,000 and not more than 15 million shillings a year.

20th

The MRI return is filed and paid by the 20th of the following month. A nil return is due in any month with no rent.

Final

It is a final tax, so the rent is not declared again in the annual return and no further income tax is due on it.

Resident

Available to resident landlords. Non-resident landlords are taxed under different rules.

Homes

Applies to residential property. Commercial rent is taxed under the normal income tax framework.

Rent of 288,000 or below in a year is not subject to MRI. You still declare the income in your annual return.
Rent above 15 million a year falls outside MRI and is taxed under normal income tax, where allowable expenses may be deducted (individuals up to 35%, companies at 30%).
Commercial rent is excluded from MRI. Appointed agents withhold 10% on gross commercial rent paid to resident landlords.
Non-resident landlords cannot use the MRI regime, a common and costly filing error.
A landlord may elect in writing to the Commissioner to be taxed under the normal income tax regime instead.