🇰🇪 Tax Overview — Kenya

Private Company Limited by Shares (Ltd)

Private limited companies pay 30% corporate income tax on worldwide income. Non-resident companies operating through a Kenyan branch pay 37.5%. Newly listed companies on the Nairobi Securities Exchange receive a reduced rate for 5 years. VAT is 16% on most goods and services, with exemptions for basic food items and agricultural inputs. Withholding tax on dividends is 5% (resident) or 15% (non-resident), on interest 15% (resident) or 15% (non-resident), and on royalties/management fees 5–20%. Kenya has 16 double tax treaties. Special Economic Zones offer reduced rates: 10% corporate tax for the first 10 years, then 15%. Digital services tax of 1.5% of gross turnover was replaced by the Significant Economic Presence tax for non-resident digital companies.