If you're a Kenyan resident with a KRA PIN but no income within a financial year, you're still legally required to file nil returns via the iTax system. Failing to file these returns can attract penalties of up to Ksh. 2,000. Fortunately, the process is simple and can be completed in under 10 minutes.
In this blog, we’ll walk you through how to file nil returns step-by-step so you stay compliant and avoid unnecessary fines.
What is a Nil Return?
A nil return is filed by individuals who did not earn any taxable income during the previous financial year. This includes:
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Students with KRA PINs but no employment
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Unemployed individuals
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Stay-at-home parents
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Individuals living abroad with no Kenyan-source income
Requirements Before Filing
Make sure you have the following:
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Your KRA PIN
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Your iTax password
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Access to a stable internet connection
If you've forgotten your password, you can reset it on the iTax portal using your registered email.
Step-by-Step: How to File Nil Returns on iTax
1. Log in to iTax
Visit the official iTax portal: https://itax.kra.go.ke
Enter your KRA PIN and password, then solve the arithmetic CAPTCHA and click Login.
2. Navigate to File Nil Return
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Click on the "Returns" menu.
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Select "File Nil Return".
3. Select Tax Obligation
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Choose Income Tax – Resident Individual as your tax obligation.
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Click Next.
4. Confirm Taxpayer Details
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The system will auto-fill your details including your KRA PIN and names.
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Confirm that the return period is accurate (e.g., from 01/01/2024 to 31/12/2024).
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Click Submit.
5. Download the Acknowledgement Receipt
Once submitted successfully, you’ll receive an Acknowledgement Receipt. Save or print it for future reference.
Important Notes
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Filing nil returns is mandatory even if you’re not earning.
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The deadline for filing annual returns is June 30th of every year.
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Late filing attracts penalties, so always file early.
Need Help Filing Your Returns?
Let us help you stay compliant with ease. Whether it's filing nil returns or handling payroll taxes, FaidiHR has your back.
Sales: +254 702 339 699
Email: sales@faidihr.com
Stay compliant. Stay safe. File on time.
FaidiHR | Simplifying Compliance for Businesses and Individuals