Kenya, October 29 2025 - In a significant move designed to streamline tax clearance and boost compliance, the Kenya Revenue Authority (KRA) has announced new and enhanced requirements for the issuance of the Tax Compliance Certificate (TCC). The certificate, which confirms that a taxpayer has met filing and payment obligations, is required for everything from securing government tenders to renewing business licences.
What’s Changed
According to a public notice issued by the Tax Institution, the revamped process introduces the following key changes:
1. All non-individual entities (businesses) and individuals with income beyond employment must now be registered on the electronic Tax Invoice Management System (eTIMS) or its predecessor, TIMS, to be eligible.
2. Applicants must have filed all applicable tax returns on or before the due date, and paid all taxes in full or entered into an approved payment plan.
3. Businesses subject to Value-Added Tax (VAT) must be in full compliance, including those listed on the VAT Special Table.
4. For various applicants, including small businesses, the issuance process has moved to a self-service model through the iTax platform. Eligible taxpayers with no compliance issues can receive their certificate automatically.
The enhancements reflect KRA’s push to modernise tax administration while simultaneously tightening the compliance net. For businesses and individuals, the upgraded requirements mean that a TCC will no longer be a simple administrative formality, instead, it becomes a litmus test of tax discipline.
For the government, the move supports broader efforts to strengthen transparency, reduce tax evasion, and facilitate smoother business-licensing and procurement processes. The self-service element promises quicker turnaround times, which could reduce bottlenecks for compliant taxpayers.
What’s Next?
While the self-service model is intended to speed up issuance for those fully compliant, taxpayers with unresolved liabilities or missing registration on eTIMS may find themselves ineligible or delayed for a certificate. Business owners and tax professionals say the shift may place additional pressure on firms to catch up on filings and system registrations.
Moreover, businesses in the informal sector or those with limited tech capacity may face hurdles navigating the new process. KRA has indicated it will address implementation challenges “on a case-by-case basis”.
