Kenya Revenue Authority (KRA) has collected a record Ksh 1.01 trillion on four months of the current fiscal year ending October 2026.
The authority attributes the increase to enhanced revenue mobilization which has helped it achieve the milestone a month earlier than in previous financial years.
In the month of October alone, KRA says it surpassed the revenue collection target by Ksh 2.3 billion after revenue grew to Ksh 260.6 billion against a target of Ksh 258.3 billion, representing a collection rate of 100.9%.
“The October performance reflects a revenue growth of 15.5%, compared to growth rates of 8% and 6.5% recorded in October 2025 and October 2024, respectively. The good performance is attributed to stellar performance by both Customs and Domestic Revenue,” said the authority in a statement.
Customs revenue posted a performance rate of 101.1% after collection grew by 11.3% to Ksh 94.8 billion in October driven by non-oil taxes which recorded a surplus of Ksh 7.2 billion and a growth of 26%.
On the other hand, domestic revenue increased by 18.1% to Ksh 165.4 billion against a target of Ksh 164.1 billion
“The strong performance was driven by above-target collections across several key tax heads, including Domestic VAT, Domestic Excise, Corporation Tax, Individual Income Tax, Capital Gains Tax (CGT) and Stamp Duty,” KRA noted.
KRA says in the month under review, corporation tax realized a collection gain of 31.6% amounting to Ksh 23.9 billion supported by electricity, manufacturing, transportation and wholesale sectors which accounted for approximately 81% of Corporation Tax collections.
“These sectors registered an average installment tax growth of 38.1% during the month, compared to a cumulative growth of 35.9% for the July–October 2026 period.”
Domestic VAT surpassed also surpassed it collection target by Ksh 45 million as collection grew by 22.1% to Ksh 33.4 billion against a target of Ksh 33.3 billion while excise duty surpassed its target for the first time in a long period after posting a surplus of Ksh 945 million and growth of 54.1%.
KRA attribute the ruse in excise duty collection to increased remittances from manufacturers of keg beer, premium beer, wine and spirits, and tobacco that grew 0.3%, 43.5%, 110.8% and 94.1% respectively.
KRA targets to collect Ksh 3.268 trillion by the end of Financial Year 2026/2027.
