Taxpayers struggling to clear old tax debts can now seek Tax Compliance Certificates after making the first payment under a structured repayment plan, but KRA has warned that the relief will be withdrawn if they fail to keep up with subsequent installments.
The Kenya Revenue Authority said taxpayers with historical liabilities covered by the ongoing tax amnesty may spread their payments over six equal monthly installments instead of settling the debt in one lump sum.
However, those seeking compliance relief must first list all valid outstanding debts in their payment plans on the iTax system. KRA said this requirement must be met before an application for a Tax Compliance Certificate (TCC) can be processed.
"Where a taxpayer has paid the first installment of the payment plan, they may request for TCC relaxation or lifting of any agency notices or relief from other enforcement action. The taxpayer is required to provide proof of payment along with the payment plan in iTax," the taxman said.
KRA said its officers will verify the payment before facilitating the compliance certificate application.
"Once evidence is presented of payment of the first installment together with the online payment plan, the officer validates that all debts were included in the payment plan then immediately proceeds to facilitate the taxpayer's application of the TCC."
The authority said taxpayers must continue monitoring their repayment schedules after receiving the compliance relief. Failure to make any of the agreed monthly payments could trigger fresh enforcement measures.
"Taxpayers are required to track their payment plan monthly. If a payment installment is missed or defaulted, the KRA shall take enforcement actions, including possible reinstatement of agency notices and withdrawal of TCCs," it added.
The arrangement forms part of the third phase of KRA's tax amnesty, which began on July 1 and will run until December 31, 2026.
The programme, reintroduced under the Finance Act, 2026, allows eligible taxpayers to have penalties, interest and fines waived in full on tax debts accumulated up to December 31, 2025, provided they satisfy the conditions set by the authority.
KRA said the latest amnesty follows two previous programmes that resulted in the recovery of Sh80.9 billion in principal tax and helped thousands of taxpayers return to compliance.
Different categories of taxpayers have been provided with various routes to benefit from the waiver.
Taxpayers who have already cleared their principal tax but still have penalties arising from late filing will have the penalties waived automatically once they file all outstanding returns.
Those who had settled their principal tax liabilities in full by December 31, 2025 will also receive automatic waivers of the related penalties and interest without being required to make a separate application.
Taxpayers with outstanding principal tax can qualify by paying the full amount during the amnesty period, after which the related penalties and interest will be written off.
For taxpayers who cannot afford to clear their principal tax in one payment, KRA allows them to apply for a structured repayment plan through iTax. They must, however, ensure the entire principal tax is paid by December 31, 2026 to qualify for the waiver.
The amnesty does not cover tax liabilities that arose from January 1, 2026. Such debts remain subject to full payment.