Income tax
Tax charged on the income of a person or business under the Income Tax Act.
Also called
You will also see this written as corporation tax and business income tax. Kenyan businesses use these interchangeably in conversation even where the underlying things differ, which is worth knowing when someone tells you what you need.
Where you meet this
Income tax is charged on what the business earned, which means it depends on what can be subtracted from revenue. That is where documentation stops being administrative: an expense you cannot substantiate is an expense you cannot deduct, and the tax is computed on a larger profit than you actually made.
What it sits alongside
In Kenyan business records income tax sits alongside Kenya Revenue Authority, Deductibility and Turnover Tax. The pages for each explain how they connect.
Related terms
Common questions
What does Income tax mean in Kenya?
Tax charged on the income of a person or business under the Income Tax Act.
Is Income tax the same as corporation tax?
In everyday use Kenyan businesses treat these as the same thing. Tax charged on the income of a person or business under the Income Tax Act.
How do I know this information is current?
Tax rules in Kenya change with each Finance Act and with regulations made during the year. Before acting on any figure, deadline or threshold, check the current position on KRA's own website.
Sources
- officialIncome Tax Act (Cap. 470) — National Council for Law Reporting (Kenya Law), checked 2026-09-18
- officialKenya Revenue Authority — Kenya Revenue Authority, checked 2026-09-18