How to Object to a KRA Tax Assessment: Deadlines, Steps and Appeals (2026)

What a "tax decision" is, and why the first 30 days matter

A KRA assessment is a formal tax decision. You might get one after a return you filed doesn't match data KRA holds on you, such as withholding certificates, eTIMS invoices, your employer's PAYE returns or other third-party information. You might also get one when you never filed at all and KRA estimates what you owe. It usually arrives on iTax and by email, with a demand attached.

The Tax Procedures Act (TPA) sets strict rules for disputing it. Section 51(1) says you must first object to the decision with the Commissioner before going anywhere else. You cannot go straight to court or the Tax Appeals Tribunal. Section 51(2) gives you 30 days from the date you were notified to lodge that objection in writing.

That 30-day window is the most important fact in this article. If you miss it, the assessment generally stands. You then need KRA's permission to object late, which it doesn't have to give. Count calendar days and treat day 30 as a hard wall. Don't count on weekends or public holidays being left out, because the rules on counting time have themselves been up for amendment. An assessment notified on 10 October should be objected to by early November, and ideally a week before the deadline.

Also know how far back KRA can go. Under section 31 it can amend an assessment within five years of the return or assessment date. Where there's gross or wilful neglect, evasion or fraud, there's no time limit. This is why the guide to filing your KRA returns on iTax stresses keeping records for years, not months.

Before you object: read the assessment line by line

Many objections fail because the taxpayer reacts to the total instead of the working. Before you write anything:

Find out what kind of decision it is. A default assessment (for a return you never filed), an additional or amended assessment (a change to a return you did file), and a penalty demand are different things. If KRA has amended an earlier assessment, section 51(5) lets you object only to the changes and additions, not to parts you already accepted or failed to challenge.
Rebuild KRA's arithmetic. Work out which income, sales, expenses or input VAT KRA added or disallowed, and for which months or years.
Split the amount into "agreed" and "disputed". Often part of the assessment is simply right. You forgot a withholding certificate, or a small side income never made it into your return (see tax on side hustles and online income). That split drives everything that follows.
Collect evidence for each disputed line. That means bank statements, invoices, eTIMS receipts, tenancy agreements, P9 forms, contracts, and proof of payment for expenses.

Section 56(1) puts the burden of proof on you. KRA doesn't have to prove its figure is right. You have to prove it's wrong. An objection that says "the assessment is excessive" with no documents is almost certain to fail.

What makes an objection valid: the three conditions

Section 51(3) says a notice of objection only counts as validly lodged if it meets all of these:

It states precisely the grounds of objection, the changes you want made, and the reasons for them. "I disagree" isn't enough. Something like "The KES 1.2 million KRA treated as sales in March 2024 was a loan from my brother; see the attached agreement and bank transfer" is.
For an assessment, you've paid all the tax that isn't in dispute, or applied for more time to pay it under section 33(1).
You've submitted all relevant documents with the objection.

This matters because the protections that follow only apply to a valid objection. That includes the 60-day deadline on KRA. Keep your grounds specific, because section 56(3) generally limits you to the grounds in your objection if the case later goes to the Tribunal or a court. A point you leave out now may be lost for good.

The undisputed tax: pay it or ask for time

Here's a worked example. Achieng runs a small consultancy. KRA issues an assessment of KES 240,000 in additional income tax. Going through the working, she finds KES 60,000 relates to consulting fees she really did leave off her return. The remaining KES 180,000 comes from KRA treating a relative's loan and a transfer between her own accounts as income.

Undisputed: KES 60,000. She must pay this, or apply for an extension or instalments under section 33, before her objection is valid.
Disputed: KES 180,000. She objects to this with the loan agreement, bank statements from both accounts, and a short letter tying each deposit to its source.

If she can't pay the KES 60,000 at once, section 33 lets her ask the Commissioner, in writing, for more time or instalments. KRA must reply within 30 days. There are two catches. If an agreed instalment is missed, the whole balance becomes due immediately. And even with an extension, late-payment interest still runs from the original due date. A plan buys time, but it doesn't make the debt cheaper.

How to lodge the objection

KRA's public notice of 29 February 2024 says objections should be uploaded on iTax. Log in, open the objection option for the relevant tax, choose the assessment, state your grounds and attach your documents. Save the acknowledgement receipt. It's your proof of the lodgement date, and you'll need it if the timing is ever disputed.

If you really can't upload, the same notice lets you email the objection or hand-deliver it to one of KRA's Independent Review of Objections offices in Nairobi, Mombasa, Kitengela, Thika, Kisumu, Eldoret or Nakuru. If you use either route, keep written proof of delivery. Using a registered tax agent is common for larger or technical disputes, but it's not required.

A good objection pack usually has:

A cover letter quoting the assessment number, tax type and period.
A schedule going line by line through what's disputed, the amount, why, and which document proves it.
Proof that the undisputed tax was paid, or your section 33 application.
The supporting documents themselves, clearly labelled.

After you lodge: the 14-day check and the 60-day clock

Two deadlines now run against KRA.

The 14-day validity check. If KRA thinks your objection isn't validly lodged, section 51(4) says it must tell you in writing within 14 days and say what's missing. You then have seven days to provide it. Don't ignore that letter. Under section 51(4A), if you don't respond in time, KRA can go ahead and decide the objection within 60 days of when you lodged it, on the evidence it already has.

The 60-day decision. Section 51(11) says KRA must make its objection decision within 60 days of receiving a valid objection, failing which the objection is deemed allowed. The decision can allow your objection in full, allow part of it, or reject it. It must include findings on the material facts and the reasons (section 51(10)). If KRA allows any part, it issues an amended assessment to match.

The "deemed allowed" rule is a real protection, but it depends on your objection having been valid in the first place. That's another reason to get the three conditions right and keep your iTax acknowledgement.

Missed the 30 days? Late objections

Section 51(6) lets you apply in writing for more time to object. Under section 51(7), KRA may allow it if you were prevented from objecting on time by absence from Kenya, sickness or another reasonable cause, and you didn't unreasonably delay once that reason ended. KRA has to decide on the application within 14 days.

Apply as soon as you realise you're late, attach evidence of the reason (a hospital letter, travel records), and lodge the full objection with the application if you can. Since the Finance Act 2025, if late filing is allowed, KRA's 60-day clock starts from the date the objection is actually lodged. Saying "I didn't see the email" or "my accountant forgot" is a weak ground. Keeping your iTax email address current is part of staying compliant.

If KRA rules against you: the Tribunal and beyond

If you disagree with the objection decision, section 51(12) and the Tax Appeals Tribunal Act give you 30 days to lodge a notice of appeal with the Tax Appeals Tribunal. The main steps under the Tribunal Act, in the consolidated text we checked:

A non-refundable filing fee (KES 20,000 in that text; confirm the current fee with the Tribunal registry).
Your memorandum of appeal, statement of facts and the tax decision, filed within 14 days of the notice.
For an appeal about an assessment, TPA section 52(2) says the notice is only valid if you've paid the undisputed tax or agreed a payment arrangement for it.
The Tribunal is directed to decide within 90 days of filing, extendable by up to 30 days.

From the Tribunal, either side can appeal to the High Court within 30 days, then to the Court of Appeal (sections 53-54). Those courts hear questions of law only (section 56(2)), so you can't re-argue the facts there. Proposals to make taxpayers deposit part of the disputed tax before a High Court appeal have been tabled more than once. The Finance Bill 2022 floated 50%, and a parliamentary committee recommended dropping it. Before going past the Tribunal, ask an advocate what deposit or security rules apply today. At that stage the costs and risks are high enough that professional advice is worth paying for.

ADR: settling with KRA instead of litigating

KRA runs an Alternative Dispute Resolution (ADR) programme. Its framework describes this as a voluntary, facilitated mediation, not an arbitration. The facilitator is someone who wasn't involved in your audit, and they can't impose an outcome. Either you or KRA can start it, using the ADR application form on KRA's website. You can use it:

Before the objection decision, inside KRA's 60-day window, or
While an appeal is before the Tribunal or a court, with that body's permission. Under TPA section 55, the settlement then has to happen within a fixed window (90 days in the text we read) or the case goes back to the Tribunal or court.

ADR works best for disputes about facts and numbers, such as reconciling sales, backing up expenses or agreeing on which deposits were income. KRA's framework lists disputes it considers unsuitable. These include cases turning on a technical point of law, cases where a court ruling is in the public interest, and cases with evidence of deliberate, repeated non-compliance. Talks are held without prejudice. But once signed, an ADR agreement binds both sides and settles the dispute for good, so read the tax figure and any payment plan carefully before you sign.

Penalties, interest and the 2026 amnesty

An assessment usually comes with penalties and late-payment interest, and the interest keeps building while you dispute it. There's one fair rule in your favour. Under section 38(2), if the tax turns out not to have been payable, the interest you paid on it is refunded to the same extent.

There are three ways to reduce the extra charges:

The 2026 tax amnesty. Under the Finance Act 2026, KRA is offering a 100% waiver of penalties, interest and fines on tax for periods up to 31 December 2025, provided the principal tax is paid in full by 31 December 2026. You can pay through an iTax payment plan (Payments, then "Apply Payment Plan (new)") of up to six instalments, as long as everything is cleared by the deadline. KRA says taxpayers in disputes can settle the principal through ADR and still get the amnesty. Customs duties under the EAC Customs Management Act are excluded, and so are debts for 2026 periods.
A remission application. Section 89 lets you apply in writing, with reasons, for penalties or interest to be remitted. For interest, the grounds include genuine uncertainty over the law or facts and hardship.
System-error relief. From 1 July 2026, KRA can waive up to KES 2 million in penalties and interest where the liability came from an error in the electronic tax system itself.

Paying the principal to use the amnesty doesn't stop you pursuing a valid objection on the disputed part. Take advice on how the two interact in your case. If a large tax bill is squeezing your cash flow, see how to build an emergency fund before borrowing to pay it.

Common mistakes that sink objections

Missing the 30 days, often because the assessment went to an old email address.
Not paying the undisputed part, which makes the objection invalid.
Vague grounds with no reconciliation or documents.
Ignoring the 14-day letter asking for more information.
Arguing new points on appeal that weren't in the objection.
Mixing up business and personal money in one account, so no deposit can be explained. This comes up often for landlords (see rental income tax) and for traders on turnover tax.

Prevention is cheaper than any objection. File accurate returns, reconcile withholding certificates and eTIMS receipts before you submit, and check your PAYE with the income tax calculator.

Frequently asked questions

Can I object to a KRA assessment by letter or email instead of iTax? KRA's February 2024 notice says to upload on iTax, with email or hand-delivery to an Independent Review of Objections office only where upload isn't possible. Whichever route you use, keep proof of the date KRA received it.

What happens if KRA doesn't respond to my objection? If your objection was validly lodged, section 51(11) says KRA must decide within 60 days or the objection is deemed allowed. Keep your acknowledgement and evidence that you met all three validity conditions.

Do I have to pay the full assessment before objecting? No. You must pay the part you don't dispute, or apply for more time to pay it. You don't have to pay the disputed amount to lodge a valid objection, though interest may still build on any part that's eventually confirmed.

Can KRA assess me for a year I filed long ago? Generally it can amend within five years of the return or assessment. Where there's gross or wilful neglect, evasion or fraud, there's no time limit.

Do I need a lawyer or tax agent? Not to object. Many individuals and small businesses lodge their own objections on iTax. For large amounts, technical questions of law, or appeals beyond the Tribunal, professional help is usually worth the cost.

Does the 2026 amnesty cancel the tax itself? No. It waives penalties, interest and fines for periods up to 31 December 2025, but only if the principal tax is fully paid by 31 December 2026.

Reviewed 11 September 2026. Deadlines and procedures are set by the Tax Procedures Act and the Tax Appeals Tribunal Act, and both are amended most years by the Finance Act. Confirm current rules with the Kenya Revenue Authority (0711 099 999) or a registered tax agent before acting. This is general information, not financial, legal or tax advice.