Kenya VAT Calculator (16%)
Quick VAT Calculation
Multi-Item Invoice Calculator
Generate a Pro-Forma Invoice
Add multiple items to calculate the total VAT and grand total for an invoice. Ideal for quotes and small business accounting.
| Description | Quantity | Unit Price (KSh) | Total (KSh) | Action |
|---|
VAT Frequently Asked Questions
What is the current standard VAT rate in Kenya?
The standard rate for Value Added Tax (VAT) in Kenya is 16%. This rate applies to most taxable goods and services.
What is the VAT registration threshold?
It is mandatory for any person or business to register for VAT if their annual turnover of taxable goods or services is KSh 5 million or more, or if they expect to reach this threshold.
What is the difference between VAT-exempt and zero-rated supplies?
Zero-rated supplies are taxable goods and services, but the tax rate is 0%. Businesses dealing in zero-rated supplies can claim back the VAT they paid on their inputs. VAT-exempt supplies are not taxable, and businesses cannot claim input VAT on them. Examples of exempt supplies include financial services and unprocessed agricultural products.
How do I file a VAT return on iTax?
VAT returns are filed monthly via the KRA iTax portal. You need to download the VAT return form from the portal, fill it out offline with details of your sales and purchases, generate a zipped upload file, and then upload it back to iTax before the deadline.
What is the deadline for filing VAT returns?
The deadline for filing VAT returns and paying any tax due is on or before the 20th day of the month following the month in which the transactions occurred. For example, VAT for January must be filed by February 20th.
What is input tax and can I claim it?
Input tax is the VAT you pay on your business purchases and expenses. If you are registered for VAT, you can deduct the input tax you paid from the output tax (the VAT you collected from sales) when you file your return. This reduces your final tax liability.
What are the penalties for late VAT filing or payment?
The penalty for late filing is the higher of KSh 10,000 or 5% of the tax due. The penalty for late payment is 5% of the tax due, plus a late payment interest of 1% per month on the unpaid tax until it is paid in full.
Can I use this calculator for the 8% VAT on fuel?
Yes. While the calculator defaults to the standard 16% rate, you can use the "VAT Rate" input field in the "Quick VAT Calculation" section. Simply change the value from '16' to '8' to accurately calculate the 8% VAT on petroleum products.
What is a pro-forma invoice?
A pro-forma invoice is a preliminary bill of sale sent to a buyer in advance of a shipment or delivery of goods. It outlines the goods, their value, and other important information. Our Multi-Item Invoice Calculator is a great tool for quickly generating a draft for such a document.
Do I need an E-TIMS device to charge VAT?
Yes. As per KRA regulations, all VAT-registered persons are required to issue electronic tax invoices through a compliant Electronic Tax Invoice Management System (eTIMS). The invoices generated by this calculator are for estimation and drafting purposes only and are not a substitute for official eTIMS invoices.