Kenyans with outstanding principal tax can now settle their debts in instalments and still qualify for a waiver of penalties and interest, the Kenya Revenue Authority (KRA) has announced.
The taxman said taxpayers who are unable to clear their principal tax in one payment can use the Automatic Payment Plan (APP) on the iTax portal to spread their payments.
The arrangement is part of the 2026 Tax Amnesty Programme, which provides for the waiver of penalties, interest and fines on eligible tax debts, provided taxpayers meet the conditions set by KRA.
Under the programme, taxpayers must ensure the outstanding principal tax is fully paid by December 31, 2026, to qualify for the waiver. "Unable to clear your principal tax in one go? Apply for an Automatic Payment Plan on iTax and pay in instalments," KRA stated.
The option gives taxpayers struggling to raise the full amount at once an opportunity to make payments progressively while remaining eligible for the amnesty, as long as the entire principal amount is settled within the stipulated period.
KRA, however, warned that taxpayers who fail to clear their principal tax by the December 31 deadline may not qualify for the waiver under the stated conditions.
"Pay in full by December 31, 2026, and penalties and interest will be waived automatically," the authority added.
How to Apply for the Automatic Payment Plan
Taxpayers seeking to use the instalment payment option are required to log in to their KRA iTax accounts and follow several steps.
Log in to KRA iTax.
Select Payment.
Click Apply for Payment Plan (New).
Complete and submit the application.
Once the application is approved, generate a Payment Registration Number (PRN).
Use the PRN to make instalment payments towards the outstanding principal tax.
The 2026 tax amnesty provides for a 100 per cent waiver of penalties, interest and fines associated with eligible tax debts that accrued up to December 31, 2025.
Taxpayers with outstanding principal tax from periods before January 2026 can also benefit from the programme by clearing the principal amount in full within the amnesty period. Once the conditions are met, the associated penalties and interest will be waived.
KRA has also clarified that taxpayers whose only outstanding liability is a late-filing penalty may qualify for the amnesty.
This includes taxpayers who previously incurred penalties, such as the Ksh2,000 charge for filing returns after the deadline, but have since submitted all outstanding returns and have no principal tax liability.
In such cases, KRA said the waiver will be applied automatically, and taxpayers do not need to submit a separate application.
However, the authority has advised taxpayers to log into their iTax accounts and regularly check their tax ledgers to confirm that the relevant penalties have been removed during the amnesty period.
