The Kenya Revenue Authority has stated that retired government employees must continue filing annual tax returns if their Personal Identification Number remains active, even without income.
The Kenya Revenue Authority has clarified that retired public servants with active PINs are required to file nil returns when they have no taxable income. This applies ahead of the June 30 deadline, with a Ksh 2000 penalty for non-compliance.
KRA noted that pension income from registered schemes receives a 100 per cent tax exemption. Gratuity payments earned by civil servants after July 1, 2025, are also exempt from income tax.
The authority added that taxpayers whose PINs carry no tax obligation are not required to file returns at all. The clarification addresses ongoing queries from retirees preparing for the annual filing period.