Register the business with KRA
A sole proprietorship files taxes under your personal KRA PIN — there is no separate business PIN. But you must update your iTax profile so KRA knows you now have business income.
- Log into itax.kra.go.ke with your personal PIN.
- Go to Registration → Amend PIN Details.
- Add a new source of income: 'Business Income' (Sole Proprietorship).
- Enter the BN/ number from your certificate, business name, sector, and commencement date.
- Submit. KRA emails an updated PIN certificate within minutes.
Tax obligations you've just signed up for
- Annual Income Tax — Individual (filed by 30 June each year)
- Turnover Tax (TOT) at 1.5% of gross monthly sales if turnover is KES 1M–25M, OR
- VAT at 16% if you cross KES 5M annual turnover (registration becomes compulsory)
- PAYE, NSSF, SHIF if you employ anyone
Even if you make zero income in a month, file a NIL TOT return on iTax. Skipping returns triggers KES 1,000 penalties per month.
The information in this guide is provided for general guidance only and is subject to change. Fees, timelines, and regulatory requirements in Kenya are updated regularly. Before acting, please confirm details with the relevant authority (KRA, eCitizen, BRS, county government, or other regulator) or speak with a qualified MyBiashara advisor. MyBiashara is not liable for decisions made solely on the basis of this content.