85 percent of Kenyan firms fail to pay corporate taxes

Times Tower in Nairobi, the Kenya Revenue Authority headquarters. FILE PHOTO | DENNIS ONSONGO | NMG

At least eight in 10 companies in Kenya did not pay taxes on earnings last financial year, signalling a tough economic environment that hit sales, prompting some businesses to scale down operations.

Statistics obtained from the Kenya Revenue Authority (KRA) show a modest 129,313 out of 862, 336 firms registered for corporate income tax (CIT) for the year ended June 2023, which is a compliance rate of 15 percent.

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Note: The results are not exact but very close to the actual.