🔥 Trending Kenya Revenue Authority: Breakdown of Ksh 2.8 Trillion Tax Collection

The Kenya Revenue Authority (KRA) achieved a record revenue collection of KSh 2.844 trillion in the 2025/2026 financial year ¹²³⁴. This represented a significant increase of KSh 272.953 billion over the KSh 2.572 trillion collected in the previous fiscal year (2024/2025), marking a 10.6% growth ²³⁴. Despite this strong performance, KRA fell short of its target of KSh 2.968 trillion by KSh 124 billion ⁶.

The KRA's robust performance was driven by several key sectors and revenue streams.

Main Sources of KRA's Revenue Collection

The primary contributors to KRA's KSh 2.844 trillion revenue collection in the 2025/2026 financial year include:

1. Personal Income Taxes

Personal income taxes were a significant driver of the revenue growth ⁹. Salaried Kenyans, in particular, bore a substantial portion of this tax burden, contributing to the overall collection ⁷.

2. Non-Oil Revenues

Non-oil revenues played a crucial role in boosting the KRA's collections ⁹. This category typically encompasses a broad range of taxes beyond those related to petroleum products, indicating a diversified tax base.

3. Exchequer Revenue

Exchequer revenue, which forms the government's main source of funding for public expenditure, grew by 10.5% to KES 2.568 trillion ⁵. This highlights the core contribution of general taxation to the national budget.

4. Revenue Collected on Behalf of Other Government Agencies

Revenue collected by KRA on behalf of other government agencies also saw an increase, growing by 11.2% to KES 276.1 billion ⁵. This indicates KRA's broader role in facilitating financial operations across various government bodies.

Context of Growth

The KRA's strong collection performance is attributed to sustained growth in domestic revenue mobilization, even amidst a challenging economic environment ²³. The authority has also been implementing measures to combat tax evasion, including expanding electronic invoicing and introducing real-time revenue monitoring ¹⁰. These efforts aim to enhance compliance and ensure a broader tax base.

For the subsequent 2026/2027 fiscal year, KRA has set an ambitious target of KSh 2.9 trillion in ordinary revenue ⁸. Achieving this goal would require daily collections averaging KSh 7.95 billion, including holidays, underscoring the continuous pressure on the authority to maximize revenue generation ⁸.