KRA Nil Returns: Who Should File and How…
If you have a KRA PIN but didn’t earn any income during the year, you may be wondering whether you still need to file a tax return.
The short answer is yes.
Having no income doesn’t automatically mean you can ignore your KRA obligations. If your KRA PIN has an Income Tax obligation, you’re generally required to file an annual return even when there’s no income to declare. In that situation, you file what is commonly called a KRA Nil Return.
Here’s what you need to know.
What is a KRA Nil Return?
A KRA Nil Return is a tax return means you declare that you had no income to report for the relevant tax period.
Think of it this way:
KRA expects a return from you if have a relevant tax obligation. If you didn’t earn taxable income, instead of leaving the return unfiled, you submit a Nil Return.
File nil returns in Kenya – Who should file KRA Nil Returns?
KRA specifically states that ONLY a person with a KRA PIN and who has not traded/made any income during a financial year should file a Nil Return through iTax.
So, in short, KRA nil returns is for:
1. People with a KRA PIN but no income
This is probably most common.
For example, you may have obtained a KRA PIN for a job application, opening a bank account, starting a business, applying for a service such as water supply/power or another official requirement, but you didn’t actually earn income during the year.
If that’s you and your PIN has an Income Tax obligation- and you are sure you had no income to declare-, you should just file nil return.
2. Students with KRA PINs
Students sometimes get KRA PINs for HELB application, bank account opening, etc.
If you are a student, and your KRA PIN has an Income Tax obligation and you are yet to start earning income, you generally need to file a Nil Return (unless you have a Pin With No Obligation, which is what we recommend for students and diplomats).
3. Unemployed individuals
If you were unemployed and had no taxable income during the just ended financial year, you may do a Nil Return if your PIN has an Income Tax obligation.
Don’t assume that being unemployed means you can simply skip filing. It’s wrong and could lead to penalties.
4. People who registered a business but didn’t operate it
Suppose you registered a business, obtained a KRA PIN and intended to start trading, but the business never actually started operating.
Well, you may still have filing obligations attached to the PIN.
But the thing is the correct return depends on the tax obligations registered on your PIN, so it’s worth checking your iTax profile to be sure you will be safe with a Nil Return.
When should you file a KRA Nil Return?
For a long time, income tax returns have been due by 30 June of the following year.
For example, KRA’s 2026 filing campaign covered the 2025 year of income, and you should have filed by latest 30 June 2026.
But there’s an important change: From 1 January 2027, you are required to file your annual income tax returns by the last day of the fourth month after the end of the year of income — this means you file by latest 30th April.
So, if you’re reading this later, do file as early as possible (starting 1st January ) and by latest 30th April. We can help you file correctly and get you a tax compliance certificate here at BziNex..just call or Whatsapp +254 797 532 345 now
How to file a KRA Nil Return on iTax – KRA nil return filing
The process very simple,
Step 1: Log into iTax
Go to the KRA iTax portal and log in using your KRA PIN and password.
Step 2: Open the Returns section
Once you’re logged in, go to the Returns section and select the option to file a return.
Step 3: Select the Nil Return option
Choose the appropriate tax obligation and select the Nil Return option where applicable.
Step 4: Select the relevant year
Choose the year of income for which you’re filing.
Make sure you select the correct year. Filing a return for the wrong period can create unnecessary problems.
Step 5: Submit the return
Review the information before submitting it.
Once successfully submitted, iTax will provide confirmation that the return has been filed. Keep the acknowledgement for your records.
Can you file a Nil Return using your phone?
Yes. You can file KRA Nil Returns through:
You can use your M-Service App that allows taxpayers to file Nil Returns, among other services. You can also use the USSD code which is *572#.
So you don’t necessarily need to visit a KRA office just to submit a Nil Return.
What happens if you don’t file KRA Nil Returns
This is where many people get caught out.
You may think, “I didn’t earn anything, so there’s nothing for KRA to tax.” But the obligation to file and the obligation to pay tax aren’t the same thing.
Failure to file your income tax return by the deadline can result in a late-filing penalty. Keep in mind that the individual late-filing penalty is the higher of 5% of the tax due or Ksh 2,000.
That’s why it’s better to deal with the return even when your income was zero.
Nil Return vs. a normal tax return
It’s useful to understand the difference.
| Situation | Return generally applicable |
| You have an Income Tax obligation and no income to declare | Nil Return |
| You’re employed and have employment income | Income Tax Return |
| You have employment plus other income | Income Tax Return but also declaring the relevant income |
| You operate a business and have taxable business activity | Appropriate business/income tax return |
| You have a specific monthly tax obligation | The return applicable to that obligation |
The key point is this: don’t file a Nil Return simply because you don’t want to pay tax.
If you actually earned income, you should declare the income using the appropriate return based on whether it is employment, business, freelance, consultancy or other income …declare those sources rather than treating them as Nil.
What about rental income?
For residential rental income under the Monthly Rental Income regime, where you receive no rent for a particular month, file a Nil return for that month.
So if you have a rental-related obligation on your KRA PIN, don’t automatically assume that your annual Income Tax Nil Return takes care of every other obligation.
Before filing a Nil Return, check your KRA PIN
This is one step people often overlook.
Log into iTax and check the tax obligations attached to your PIN.
If you’re unsure whether your situation qualifies for a Nil Return, don’t simply select Nil because you had little or no money coming in. The type of income and tax obligation matters.
For example, if you earned money from freelance work, online services, farming or another business activity, you may need to declare that income rather than submit a Nil Return.
Need help filing your KRA Nil Return?
Filing a KRA Nil Return may take only a few minutes when everything on your iTax profile is in order.
But if you’re unsure about your tax obligations, have an old unfiled return, made an incorrect declaration, or need help getting your KRA records in order, professional assistance can save you from making another mistake.
At BziNex, you can get assistance with KRA returns, tax filing and general KRA compliance matters. You can call or whatsapp +254797532345
Note:
KRA filing requirements and deadlines can change. The information above reflects KRA guidance available in September 2026, including the announced change to individual filing deadlines from 2027. Always confirm the applicable requirement on KRA’s official channels before filing.
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