Effective Tax Rate on Rental Income
Monthly Income	US$1,500	US$6,000	US$12,000
Tax Rate	10%	10%	10%
Click here to see a worked example
Source: Disclaimer

INDIVIDUAL TAXATION

Nonresidents are taxed only on income derived from sources in Kenya. Married couples are generally taxed jointly, but they may elect for separate taxation.

INCOME TAX

Nonresidents are generally subject to withholding taxes, which serve as their final tax liability.

RENTAL INCOME
Nonresidents earning rental income from real properties is subject to a withholding tax at a rate of 10% on the gross rental income received.

Taxpayers may elect to be taxed on their net income at a flat rate of 30%. Income-generating expenses are deductible when calculating taxable income.

Stamp Duty on Property Leases

Stamp duty is levied on property leases at varying rates, depending on the lease duration. Stamp duty is levied at a flat rate of 1% on period leases up to 3 years, and at a flat rate of 2% on period leases exceeding 3 years.

CAPITAL GAINS
No tax is levied on capital gains realized from the sale of real property in Kenya.

Stamp Duty on Property Transfers

Stamp duty is levied on property transfers at varying rates, depending on the location of the property. Stamp duty is levied at a flat rate of 4% on properties located in municipalities, and at a flat rate of 2% on properties located outside municipalities.

PROPERTY TAX

Property Tax

This is an annual tax levied by the local government depending on the location and value of the property. It is usually about 1% of the property value.

Land Tax

Land tax is a local tax with rates varying depending on the location of the land. The highest rate is 8% which applies in Nairobi.

CORPORATE TAXATION

INCOME TAX

Income of nonresident companies is subject to income tax at a flat rate of 37.50%. Income-generating expenses are deductible when calculating taxable income.