KRA Rolls Out eRITS

What Is eRITS?

The Electronic Rental Income Tax System (eRITS) is Kenya Revenue Authority’s (KRA) new digital platform designed to simplify how landlords declare and pay rental income tax.

Launched under the Gava Mkononi (Gava Connect) initiative and available via eCitizen, eRITS offers a faster, paperless way to stay compliant.

Who Does It Affect?

eRITS applies to all Kenyan landlords earning:

Ksh288,000 to Ksh15 million annually from rental income

(That’s Ksh24,000 to Ksh1.25 million monthly)

These landlords fall under the Monthly Rental Income (MRI) tax bracket and are required to declare income monthly and pay a flat tax rate of 7.5% on gross rent.

Why Was eRITS Introduced?

KRA estimates that it collects only a fraction of the potential revenue from rental income — just Ksh14 billion out of a possible Ksh100 billion+.
The eRITS system aims to:

• Boost compliance
• Reduce manual errors
• Make tax filing easier and more accessible
• Identify non-compliant landlords via system integrations.

Key Features of eRITS

1. Digital tax computation – No math needed
2. Easy online filing – Via eCitizen
3. Mobile & bank payments – Pay instantly
4. Instant receipts – Digital proof of compliance
5. API integrations – For property managers using management systems.

Benefits of eRITS

1. Convenience – File and pay from your phone or laptop
2. Accuracy – Automated tax calculations
3. Professionalism – Encourages better record-keeping
4. Time-Saving – No need to visit KRA offices
5. Transparency – Fairer system for all landlords

Challenges & Disadvantages

1. Despite its benefits, eRITS also comes with some challenges:
2. Digital Literacy – Some landlords may struggle with online systems
3. Limited Internet Access – Particularly in remote or rural areas
4. Transition Friction – Informal landlords may find the shift tough
5. Privacy Concerns – Fear over how rental data may be used
6. Audit Risk – Filing now could expose previous under-reporting

Still, these challenges are manageable — and the risk of not complying is far greater.

How to Use eRITS (Step-by-Step)

1. Visit eCitizen

2. Log in and search “Gava Mkononi”

3. Select the Rental Income Tax service

4. Input your monthly gross rental income

5. The system calculates the 7.5% tax
 
6. Pay via mobile money or bank

7. Download your payment receipt

Don’t Go It Alone — Talk to Rentnasi

Filing taxes doesn’t have to be complicated.

Rentnasi is here to help landlords and property managers adapt to the eRITS system with ease. Whether you manage one unit or a full portfolio, Rentnasi provides:

• Step-by-step support for eRITS filing
• Monthly reminders and reporting help
• Tax advice tailored for landlords
• API integrations for real estate businesses
• Peace of mind knowing you're fully compliant
• Get in touch with Rentnasi today and take the hassle out of rental income tax.

The launch of eRITS marks a major shift in Kenya’s tax landscape. While it brings new responsibilities for landlords, it also introduces efficiency, clarity, and a push toward formalizing the rental market.

Don’t wait for penalties. Stay ahead — go digital, stay compliant, and talk to Rentnasi.