VAT Registration in Kenya – What You Need to Know 

Navigating the regulatory landscape in Kenya can be a complex process for business owners — especially when it comes to Value Added Tax (VAT). Whether you’re launching a new company or scaling operations, understanding VAT registration is essential for compliance and smooth financial operations.

The Kenya Revenue Authority (KRA) requires businesses with a projected annual turnover of over KES 5 million to register for VAT. However, even businesses below this threshold can register voluntarily — and doing so can unlock the ability to reclaim input VAT on purchases and present a more credible business profile.

Brief Overview of the VAT Registration Process (KRA)

1. Application via iTax Portal
   The VAT registration process starts with submitting an online application through the KRA iTax portal. You must log into your company’s iTax profile and initiate the VAT registration application.

2. Document Upload & Verification
   Applicants are required to upload all relevant documents (outlined below). KRA officers verify this documentation before scheduling a site visit.

3. KRA Site Visit & Officer's Report
   A site visit is conducted by a KRA officer who inspects your physical premises and files an officer’s report on the iTax system. This step is mandatory for approval.

4. Approval & Issuance of VAT Certificate
   Once all documents are verified and the officer’s report is submitted positively, KRA approves the application and issues a VAT registration certificate.

This article provides a complete overview of the KRA-mandated VAT registration requirements, along with the steps your business must follow to become fully VAT compliant.

VAT Registration Requirements – Kenya (KRA)

To successfully apply for VAT, ensure the following requirements are met:

✅ 1. Certificate of Incorporation & CR12

• Confirms company legal status and structure

• CR12 validates directors and shareholders (you already have this)

✅ 2. Director Identification Documents

• Valid Kenyan National ID, Passport, or Alien ID Card

• Required for each director or partner

✅ 3. Valid Business Permit / Trade License

• Issued by the relevant County Government or licensing authority

• Must be current and match your declared and registered business activities

✅ 4. Work Permits (For Non-Kenyan Directors or individuals)

• Required if foreign nationals are listed as directors or actively working in the business

• Proof of legal work status in Kenya is mandatory

✅ 5. Tax Compliance Certificates (TCC)

• TCCs needed for both the company and all individual directors

• Ensure these are current and valid for at least 6 months

• These ensure tax obligations have been met to date

✅ 6. Letter of Appointment of Tax Representative (If Applicable)

• Mandatory for non-resident companies

• Must include a copy of the representative’s ID/passport

✅ 7. Contact & Location Details

• Physical address of the business

• Active, Verified phone number and email address 

• Recent utility bill (e.g., electricity or water) or meter number

• Office rent/lease agreement or title deed for the premises

✅ 8. Company Website or URLs (If Applicable)

• If the business operates online, include domain names and web links 

✅ 9. Contract Agreements or Sample Invoices

• Evidence of ongoing or expected taxable activity

• Can include: service agreements, supply contracts, or pro forma/sample invoices

✅ 10. KRA Site Visit & Officer’s Report

• A KRA officer will visit your premises

• The officer files a report within the iTax system (this is mandatory before approval) to validate the business setup

Pro Tips to Avoid VAT Registration Delays

To speed up your VAT registration approval and avoid common rejection points:

• Ensure All Documents Are Valid and Up-to-Date

Expired TCCs or outdated business permits are among the top causes of rejection.

• Use Consistent Details Across All Documents

Ensure your business name, physical address, and director information match exactly across the CR12, permit, and utility bill.

• Prepare for the KRA Site Visit

Make sure your premises are clearly branded, operational, and accessible. Keep your documents printed and ready for inspection.

• Include Proof of Active or Planned Transactions

Contracts, pro forma invoices, or recent service agreements help demonstrate that your business is generating (or will generate) taxable income.

• Engage a Professional VAT Registration Partner

Firms like Spondoo KE ensure correct document submission and provide follow-up, so your application isn’t held back due to minor errors.

Ready to Register for VAT and Streamline Your Finances? Let Spondoo KE Take It From Here.

Dealing with the KRA doesn’t have to be stressful. At Spondoo KE, we turn paperwork into progress. Whether you’re starting a new business, need help getting your VAT registration approved, or want expert support to stay compliant — we’ve got your back.

Why Choose Spondoo KE?

✅ End-to-End VAT Registration – We handle everything, including CR12s, TCCs, business permits, and KRA site visits
✅ Fast, Accurate Compliance – Avoid delays and rejections with our expert filing process
✅ Full Accounting Support – Bookkeeping, payroll, tax returns — all under one roof
✅ Transparent, Affordable Pricing – No surprises, just results

📞 Don’t wait until you’re penalized — let’s get your business VAT-compliant today!
➡️ Visit www.spondoo.co.ke
📧 Or email us at supportteam@spondoo.ke to get started

Your business deserves the right foundation. Trust Spondoo KE to build it with you.