The Quintessence Consultants

The Quintessence Consultants Our services include;

a) Audit & Accounting,
b) Tax Consulting,
c) Financial Planing among others.

Taxation tips on Individuals salaries/earnings
08/08/2018

Taxation tips on Individuals salaries/earnings

25/04/2018

Residential rental income tax
Residential income tax is payable by any resident person who accrues or derives income from the use or occupation of residential property in Kenya.
Effective 1 January 2016, a simplified tax on residential rental income for landlords was introduced whose annual gross rental income is KES 10 million or less. The landlords falling under this category are required to pay residential rental income tax at a flat rate of 10% on the gross rental income such that no tax deductible expenses are allowed. Eligible persons are required to file monthly tax returns via the i-Tax system and pay the tax due on or before the 20th day of the month following the rent receipt. In the context of this tax, a month means a calendar month.

13/04/2018

Income tax on individual’s earnings/salaries
Tax deductible benefits in respect to employment income means deductions that are made on ones salary before taxation is applied. These deductions include:
• Pension contribution to a registered pension scheme (The amount deducted is the lowest of: a) actual contribution b) 30% of pensionable pay OR c) Commissioner’s set limit – which currently is 20,000 per month or 240,000 per annum).
• Interest deduction on owner occupier interest. This means interest (NOT PRINCIPAL) you pay towards payment of your mortgage. The allowed amount is currently maximum Ksh 25,000 per month or 300,000 per annum
• Deposits or savings towards a registered Home Ownership Savings Plan (HOSP) such as HFCK, KCB Mortgage, etc. The maximum amount allowed is Ksh. 4,000 per month or 48,000 per annum.
On the other hand, there are those reliefs given after the tax computations on the taxable salary. They include;
• Insurance relief. The amount of relief is 15% of the premium contribution up to a maximum of Ksh.60,000 per year.
• Personal relief. This is given to all taxed individuals and currently is a fixed amount of Ksh. 1408 per month.

12/04/2018

Deadline for Income tax filing is drawing near (30th June 2018). Make sure the deadline doesn't catch you off guard.

To file your inome tax returns, you need the following;
1. PIN
2. iTax password for your PIN account
3.P9 form from your employer
4. Other documents needed such as mortgage certificate (to ascertain your interest payments for the year 2017), Insurance certificate for 2017 contributions, etc

Address

Nairobi
254

Telephone

+254722137181

Website

Alerts

Be the first to know and let us send you an email when The Quintessence Consultants posts news and promotions. Your email address will not be used for any other purpose, and you can unsubscribe at any time.

Shortcuts

Share

Category