NAIROBI, Kenya- The Kenya Revenue Authority (KRA) has temporarily suspended the filing of nil tax returns until the end of March in a renewed push to bring millions of dormant taxpayers into the tax net.
The move was confirmed on Friday by KRA Deputy Commissioner Patience Njau, who said the suspension will allow the authority to validate taxpayer data and identify individuals earning taxable income but declaring zero returns.
Under the directive, taxpayers will be unable to submit nil returns for the 2025 income year until March 30, a period KRA says will be used to cross-check multiple data sources and improve compliance.
“This year, our focus is different,” Njau said during a press briefing. “We are deliberately targeting nil filers, non-filers, and zero payers and converting them into active, paying taxpayers.”
Why KRA Is Pausing Nil Returns
Njau explained that during the suspension window, KRA will intensify audits across several systems, including income tax records, withholding tax filings, eTIMS invoices, and customs import data.
According to the authority, the goal is to close gaps where individuals earn income but still file nil returns, effectively shifting the tax burden to salaried workers.
“To mitigate the risk of missing taxpayers within that category, nil returns will not be filed until the validation exercise is complete,” Njau said, adding that taxpayers should not panic as the annual filing deadline remains June 30.
Millions Outside the Tax Net
KRA disclosed that while more than 22 million Kenyans are registered with KRA PINs, only 8 million actively pay taxes. Of these, just 4 million consistently meet their obligations.
The authority says this imbalance has limited the government’s ability to raise revenue fairly, with most collections coming from PAYE contributors while other income streams, including rental income, remain largely untaxed.
Starting January, KRA will automatically validate declared income and expenses against third-party data, including TIMS and eTIMS invoices, withholding tax records, and customs documentation.
Payment Plans and WhatsApp Filing
To ease compliance, KRA has also rolled out an Automated Payment Plan, allowing eligible taxpayers to settle outstanding taxes, penalties, and interest through structured instalments.
In addition, the authority recently introduced a WhatsApp chatbot that allows Kenyans to file tax returns and access up to 15 KRA services without visiting physical offices.
