If you’re a landlord in Kenya, or even just renting out that extra unit in your compound, it’s time to take note.
The Kenya Revenue Authority (KRA) just rolled out a new digital tool that will change how landlords file and pay rental income tax. Whether you manage a small flat in Githurai or apartments in Syokimau, this will affect you.
Say hello to eRITS, the Electronic Rental Income Tax System.
It sounds complicated, but it’s actually designed to make things simpler for landlords… and yes, to tighten tax compliance too.
So, What Exactly Is eRITS?
eRITS is a new digital platform developed by KRA to help landlords declare, calculate, and pay their rental income tax online.
It’s hosted on the Gava Mkononi (GavaConnect) platform, part of the government’s broader digitization agenda. The idea is to bring tax compliance closer to your fingertips, literally.
With eRITS, landlords can now:
- File their monthly rental income returns
- Get automated tax calculations
- Receive SMS and email reminders
- Pay tax via mobile money or bank
- Avoid penalties from late or incorrect filings
“I used to guess what to pay. Now the system does the math,” says Charles, who owns a 4-door unit in Umoja.
Why Is KRA Doing This?
Let’s be honest, rental income tax compliance has been pretty low in Kenya. Many landlords either don’t know how to file or avoid it altogether.
But with the growing housing market and more people entering the rental space, KRA is now saying:
“If you’re earning from property, it’s time to be transparent about it.”
The system isn’t just about revenue collection. It’s also meant to make compliance easier, especially for small landlords who don’t have accountants or property managers.
What Tax Are You Actually Paying?
If you’re under the monthly rental income tax regime, here’s how it works:
- You pay 10% of your gross monthly rental income (no deductions allowed).
- It’s due by the 20th of the following month.
- Late payment attracts penalties and interest.
So if you earn KSh 50,000 in rent, you pay KSh 5,000 in tax.
“I never knew it was that straightforward,” says Nancy, who just registered her two-bedroom in Kitengela on eRITS. “Now I feel more confident doing it myself.”
How to Get Started with eRITS
- Visit the GavaConnect portal or the eCitizen platform
- Register for eRITS using your KRA PIN
- Input your rental property details
- Declare your monthly income
- Pay through mobile money or bank
The whole process takes under 10 minutes once you’ve set it up. And yes, it works from your phone.
