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Residential apartment buildings at Mirema in Nairobi, Kenya, an example of the rental property market affected by the rental income tax changes in the Finance Bill 2026
Rental income taxRITKenya tax 2026Finance Bill 2026non-resident withholdingdiaspora landlordreal estate KenyaKRAiTaxrental tax complianceproperty taxgross rent

Kenya Rental Income Tax 2026: Why the Rate Rose to 10% and How Resident and Diaspora Landlords Should Respond

The Finance Bill 2026 increases the residential rental income tax rate from 7.5% to 10% of gross rent. The Bill also introduces a 30% withholding tax on rent paid to non-resident persons. Diaspora landlords face a meaningfully different tax bill in 2026/27 and should review their property holding structures.

May 24, 2026 8 min read
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