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Tax & KRA

Turnover Tax (TOT) in Kenya: Rate and Who Pays

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Last reviewed 2026-11-04 Applies to: Current rate, checked November 2026

Short answer: turnover tax is 1.5% of gross sales for resident businesses with annual turnover above KES 1 million and up to KES 25 million. It is filed and paid by the 20th of the following month.

Older KRA pages and guides still show earlier rates (such as 3%) and thresholds. The 1.5% rate is the current one reported in recent KRA-based guidance; confirm on iTax before filing.

Worked example

Gross sales of KES 400,000 in a month give turnover tax of 400,000 × 1.5% = KES 6,000.

TOT and VAT

They are different taxes with different thresholds. A TOT taxpayer making VAT-able supplies with turnover of KES 5 million or more must also register for VAT.

Open the turnover tax calculator

Related guides

Turnover Tax Calculator Kenya (1.5%)VAT in Kenya: Rate, Registration and Filing

Official and source references

General information built on the official sources above. Confirm the current position with the issuing authority before acting.