A company KRA PIN is one of the first things you need after registering a limited company in Kenya, and without it you cannot open a bank account, file taxes, issue VAT invoices, or apply for government tenders. The application is done entirely online through the KRA iTax portal. Here is how to do it correctly the first time.
Registering your company is an exciting milestone. But before your business can legally meet its tax obligations or transact with many government and private institutions, it must first obtain a KRA PIN.
A company KRA PIN is issued by the Kenya Revenue Authority (KRA) through the iTax system. It identifies your business for tax purposes and is required for filing tax returns, paying taxes, applying for tax compliance certificates, and carrying out many day-to-day business transactions.
If you’ve recently incorporated a limited company, you may be wondering when to apply, what documents you’ll need, and how the registration process works. Here’s how to obtain a company KRA PIN in Kenya.
Also Read: Beneficial Ownership Register in Kenya: What It Is and Who Must File
What Is a Company KRA PIN and Why Is It Different from a Personal PIN?
A Company KRA PIN is a unique tax identification number issued to a registered company in Kenya by the KRA.
Unlike an individual’s KRA PIN, which is linked to a person, a company PIN is linked to the business as a separate legal entity. Once issued, it becomes the company’s official tax identification number and is used in all tax-related transactions with KRA.
Every limited company registered in Kenya should obtain its own KRA PIN. Even if the directors already have personal PINs, the company must have a separate PIN because it has its own legal and tax obligations.
Why Does a Limited Company Need a KRA PIN?
Your limited company in Kenya will need a KRA PIN to:
- Register for applicable tax obligations
- File tax returns through the iTax system
- Pay corporation tax, VAT, PAYE, and other taxes where applicable
- Apply for a Tax Compliance Certificate
- Open a business bank account with many financial institutions
- Bid for government tenders
- Register for certain licences and permits
- Conduct various transactions with government agencies
Without a company PIN, meeting your statutory tax obligations becomes impossible. Your business may face unnecessary delays when dealing with banks, suppliers, or government institutions.
When Should You Apply for a Company KRA PIN?
The best time to apply for your company KRA PIN is immediately after your company has been incorporated. Once the BRS issues your Certificate of Incorporation, your next compliance steps typically include:
- Obtaining your company KRA PIN
- Registering for the relevant tax obligations
- Opening a business bank account
- Applying for any licences required for your business
Applying early ensures your company is ready to operate without unnecessary interruptions and avoids delays when you need to enter contracts, issue invoices, or apply for licenses.
What Do You Need to Apply for a Company KRA PIN in Kenya?
Before starting the application on the iTax portal, it’s important to have all the required information ready.
Although the exact requirements may vary depending on the nature of the company, you will generally need:
- The company’s Certificate of Incorporation
- CR12 certificate from BRS, listing the current directors and shareholders of the company
- The KRA PINs of the company’s directors
- National ID or passport details for the directors
- Registered office and postal address
- Company email address and phone number
- Details of the company’s principal business activity
Having these documents available before beginning the application makes the process faster. It also helps reduce the chances of delays caused by missing information.
Step-by-Step Guide to Applying for a Company KRA PIN
Company tax registration is completed online through the KRA iTax portal. The process is relatively straightforward if you have all the required information.
Step 1: Access the iTax Portal
Visit the KRA iTax portal and select the option to register a new taxpayer. On the taxpayer type selection screen, choose Non-Individual. This is the category that covers limited companies, LLPs, NGOs, and other corporate entities. Do not select Individual, which is for personal PINs only. Complete the application using the company’s details, not those of an individual director.
Step 2: Enter the Company’s Information
Provide the company’s registration details exactly as they appear on the Certificate of Incorporation. You’ll also be required to provide information about the company’s directors, registered office, postal address, contact details, and principal business activity. Ensure all information is accurate before proceeding.
Step 3: Select the Applicable Tax Obligations
Select the tax obligations that apply to your company. For most newly incorporated companies, this includes Income Tax for Companies.
- If you are registering for VAT from the outset because you expect turnover to exceed KES 5 million annually, add VAT as well.
- If you have employees starting immediately, add PAYE.
- If you will be withholding tax on payments to suppliers, add Withholding Tax.
You can add obligations later through iTax, but starting with the right ones from day one keeps your compliance record clean.
Step 4: Review the Application
Review every detail on the summary page carefully before submitting. Once submitted, the application goes to KRA for review and any errors will require a follow-up query process to correct. Check the company name, registration number, director details, and selected tax obligations one more time before clicking submit
Step 5: Submit the Application
After confirming all the information is correct, submit the application through the iTax system. KRA will process the application within one to three business days and, once approved, issue the company’s KRA PIN certificate electronically to the provided email.
Log in to iTax using the company PIN and the temporary password sent to your email. Change the password immediately and download the KRA PIN certificate from your iTax account. This certificate is what banks, clients, and institutions will request as proof of tax registration
What Happens After You Receive the Company KRA PIN?
Receiving the company PIN certificate marks the point at which your company is recognised as an active taxpayer on the KRA system. Several things need to follow promptly to keep the company’s compliance record clean from the very beginning.
File Nil Returns If the Company Is Not Yet Trading
Once your company is registered as a taxpayer, KRA expects returns to be filed for every applicable obligation on schedule, even if the company has not yet begun trading.
A newly incorporated company that has not traded in a given financial year must file nil returns for income tax by the filing deadline. Failure to do so results in penalty notices from KRA that create a compliance history problem the company will need to resolve later.
Register for VAT When You Hit the Threshold
If the company was not registered for VAT at the point of PIN registration, you need to monitor turnover and register for VAT as soon as annual revenue reaches or is expected to reach KES 5 million.
VAT registration is done through iTax and takes effect from the date of registration. Issuing taxable supplies without being VAT registered once the threshold is crossed creates a liability for backdated VAT that KRA can and does assess during audits.
Register Employees for PAYE
Once the company begins employing staff, it must register each employee on the PAYE schedule through iTax and begin deducting and remitting PAYE on or before the ninth of the following month.
The company also needs to register with NHIF and NSSF separately for employee statutory deductions. These obligations arise from the first month an employee is on payroll, not from the point the company becomes profitable.
Pay Corporation Tax and Any Other Applicable Taxes
Once your company begins generating profit, corporation tax becomes due at a flat rate of 30% on net taxable income for resident companies or 37.5% for non-resident companies. KRA requires companies to pay tax in installments throughout the year through the installment tax system, with payments due by the 20th of the 4th, 6th, 9th, and 12th months of the financial year.
Underpaying or missing installments attracts a surcharge of 20% on the unpaid amount, so planning your tax payments from the first trading year matters. Beyond corporation tax, other obligations such as VAT, PAYE, and withholding tax arise depending on the nature of your business activities and must be remitted on their respective schedules through iTax.
Apply for a Tax Compliance Certificate When Required
A Tax Compliance Certificate, commonly called a TCC, is a document issued by KRA through iTax confirming that your company is up to date with all its tax obligations. It is valid for twelve months and must be renewed annually by ensuring all returns are filed and all tax liabilities are settled.
You apply for a TCC directly through your company iTax account, and KRA generates it automatically when your compliance record is clean. Keeping your filings and payments up to date is therefore not just a legal obligation but a commercial one, because a lapsed TCC can disqualify you from contracts and opportunities at short notice.
Keep Proper Accounting Records to Support Your Tax Filings
KRA requires every company to maintain proper books of account that accurately reflect the company’s income, expenditure, assets, and liabilities. These records form the basis of every tax return your company files and must be available for inspection in the event of a KRA audit.
The Income Tax Act requires records to be kept for a minimum of five years from the date of the relevant return. In practice, this means maintaining organized records of all sales invoices, purchase invoices, bank statements, payroll records, and any other financial documentation from day one of trading.
Common Mistakes to Avoid When Applying for a Company KRA PIN
Applying for a company KRA PIN is generally straightforward, but small mistakes can delay the process or result in your application being rejected. Here are some of the most common issues to avoid.
Providing Incorrect Company Details
The information entered on the iTax portal should match your Certificate of Incorporation and company registration records. Errors in the company name, registration number, or contact details can delay processing.
Using Outdated Director Information
The directors’ details should be accurate and up to date. If a director’s KRA PIN or identification information is incorrect, you may be required to correct the records before the application can be completed.
Selecting the Wrong Tax Obligations
When registering your company, you’ll be asked to select the taxes that apply to your business. Registering for the wrong tax obligations can create unnecessary compliance requirements or require amendments later. If you’re unsure, it’s advisable to seek professional guidance before submitting the application.
Delaying Your Tax Registration
Some business owners wait until they need a business bank account, a licence, or a government tender before applying for a company PIN. Registering your company for tax soon after incorporation helps you avoid unnecessary delays when business opportunities arise.
Can You Apply for a Company KRA PIN Yourself?
Yes. You can apply for a company KRA PIN directly through the KRA iTax portal.
However, many business owners choose to work with a professional company registration or tax consultant, especially when registering a new business. Professional assistance can help ensure the application is completed correctly, the appropriate tax obligations are selected, and any issues are resolved quickly.
This is particularly useful if you’re unfamiliar with the iTax system or want to avoid delays caused by errors in the application.
Get Your Company KRA PIN with Help from Ultimus Advisory
Applying for a company KRA PIN is one of the first compliance steps after incorporating your business. Completing the process correctly helps you avoid delays and ensures your company is ready to meet its tax obligations.
At Ultimus Advisory, we assist businesses with company tax registration, KRA PIN applications, and other statutory compliance requirements. Beyond KRA PIN registration, we also provide company incorporation, annual compliance, company secretarial services, and ongoing business advisory support to help your business remain compliant as it grows.
If you need assistance obtaining a company KRA PIN in Kenya, contact Ultimus Advisory and let our experts handle the process for you.
FAQs
Can a company operate without a KRA PIN?
A company may be legally incorporated without a KRA PIN, but it cannot meet its tax obligations or complete many business transactions that require tax registration. Obtaining a company KRA PIN should be one of the first steps after incorporation.
Is a company KRA PIN different from a director’s personal KRA PIN?
Yes. A company is a separate legal entity and must have its own KRA PIN. The directors’ personal PINs cannot be used in place of the company’s tax PIN.
Do all limited companies need a KRA PIN?
Yes. Every limited company should obtain its own KRA PIN to comply with Kenya’s tax registration requirements and carry out tax-related transactions.
What taxes can a company register for through iTax?
Depending on its activities, a company may register for Corporation Tax, Value Added Tax (VAT), Pay As You Earn (PAYE), Withholding Tax, Turnover Tax (where applicable), and other tax obligations administered by the Kenya Revenue Authority.
Does the company need a KRA PIN even if it is not yet making money?
Yes. Tax registration is required from the point of incorporation regardless of whether the company is trading. The obligation to file returns, including nil returns when there is no income, arises from the moment the company is registered as a taxpayer.
