Dear X3 Hr and Payroll User,

Please take note of the Kenya tax changes as part of the measure announced to cushion Kenyans against the impact of the coronavirus pandemic:

• 100 % Tax Relief for persons earning gross monthly income of up to Ksh24 000.
• Reduction of Income Tax Rate PAYE from 30% to 25%.

At the moment it is unclear how these tax changes will be applied specifically ,how to apply the 100% relief and how the other income brackets will be affected with the tax rate reduction announced. The KRA has not yet issued any publications regarding this order by the President and therefore we cannot apply changes on the payroll yet.

Our Compliance team are awaiting final confirmation from the Kenyan Government on these measures and thereafter will provide further updates,

Please click here to access the Kenyan presidential address

Kind Regards 

X3 HR and Payroll Support Team