For many years, the Tax Compliance Certificate (TCC) issued by KRA was based on a taxpayer’s compliance with filing tax returns and settling all taxes due.

KRA has enhanced the Tax Compliance Certificate (TCC) application process by introducing an additional requirement.

Taxpayers who earn income other than employment income are now required to be registered on TIMS/eTIMS before a TCC can be issued.

Yes. This is provided for under Section 72(2) of the Tax Procedures Act, Cap 469B.

“The Commissioner may issue a Tax Compliance Certificate, which shall be valid for the period specified in the certificate, upon the applicant fulfilling conditions that the Commissioner may impose.”

The Tax Procedures Act was amended in 2023 to require any person carrying on a business to issue electronic tax invoices through the system established by the Commissioner.

Electronic invoicing is therefore a statutory compliance requirement for all businesses.

The change takes effect immediately.

It applies only to persons who earn business income and have not complied with the legal requirement on electronic invoicing.

Compliance offers several benefits to businesses and the wider economy, including:

• Timely and efficient service delivery by KRA.
• Improved access to new opportunities and business growth.
• A fair business environment and a level playing field.
• Enhanced business credibility and reputation, fostering trust with partners.
• Contribution to civic duty and national development.

No. The additional requirement to be registered on TIMS/eTIMS before a Tax Compliance Certificate can be issued applies only to persons who earn income other than employment income.

To qualify for issuance of a Tax Compliance Certificate, a taxpayer must:

• Be registered and compliant with TIMS/eTIMS where applicable.
• File all applicable tax returns on or before the due date.
• Pay all taxes on or before the due date.
• Settle any outstanding tax liabilities or have an approved payment plan in place.
• Be compliant with VAT requirements, including VAT Special Table status where applicable.

All previously issued Tax Compliance Certificates remain valid for taxpayers who are compliant with the eTIMS requirement.

Taxpayers who hold valid TCCs but are not yet compliant with eTIMS will be given a limited window to comply before any enforcement measures are initiated.

All persons carrying on a business in Kenya are required to be registered on TIMS/eTIMS.

For this purpose, persons in business include:

• Non-individual entities such as body corporates, associations, partnerships, foundations, trusts, joint ventures, and similar entities.
• Individuals who earn income other than employment income.

Income required to be declared through TIMS/eTIMS includes:

• Annual income from any form of business, as categorised in the annual return, for both resident and non-resident entities and individuals with a permanent establishment.
• Income earned by taxpayers registered under the following tax obligations:
  • Value Added Tax (VAT)
  • Monthly Rental Income (MRI)
  • Turnover Tax (TOT)
  • Excise Duty
• Income earned by persons carrying out business activities across various sectors, including the inform

For more information on registering and using TIMS/eTIMS, refer to the resources below:

KRA will facilitate taxpayers to apply for a Tax Compliance Certificate at their respective Tax Service Offices (TSOs).

Information on business expenses that are exempt from the requirement to be supported by an eTIMS invoice is available on the KRA website:

If you have not met the conditions listed in No. 7 above.

KRA has established help desks at all Tax Service Offices countrywide and the Contact Centre reachable via 0711 099 999 or callcentre@kra.go.ke.