The Kenya Revenue Authority (KRA) has intensified its focus on young people as part of an early intervention strategy aimed at building a sustainable tax compliance culture.
Data from the authority shows that individuals aged between 21 and 30 make up the largest share of taxpayers, accounting for about 42 per cent. According to KRA, this group largely consists of first-time employees, entrepreneurs and gig workers who need guidance rather than punitive enforcement.
Speaking during a public lecture at the Kendu Adventist School of Medical Sciences (KASMS) on Monday, KRA Commissioner for Micro and Small Taxpayers George Obell said engaging young people early was key to normalising tax compliance.
“Our data clearly shows that the 21 to 30 age bracket forms the biggest segment of taxpayers. These are young people just starting out in employment or business, and what they need most is support and proper understanding of their tax obligations,” Obell said.
He explained that the tax system already provides reliefs for low-income earners, including exemptions for those earning below Sh25,000 per month, stressing that KRA’s approach is to educate rather than intimidate.
“We want people to enter the tax system early and receive education in good time, so that compliance becomes a habit, not something enforced through fear,” he added.
Expanding tax education beyond offices
Obell noted that KRA is rolling out continuous tax education through partnerships with learning institutions, professional bodies and community groups. Special focus is being placed on sectors with high youth participation, such as healthcare and the gig economy.
To deepen its reach, the authority is also training community-based tax ambassadors who can explain tax obligations in simple, relatable language.
“We are deliberately going to the grassroots. We want trained people within communities who can help explain filing, benefits and obligations in a way that makes sense to taxpayers,” he said.
He acknowledged that many young people view paying tax as a civic duty but often struggle with complex systems and limited access to clear information. In response, KRA is strengthening sector-specific training and institutional outreach.
Simplified options for small businesses
Obell explained that once registered, taxpayers are issued with a Personal Identification Number (PIN) and guided based on whether they are employed or self-employed.
For small businesses, he highlighted turnover tax as an easy alternative.
“If your annual turnover is between Sh1 million and Sh25 million, you qualify for turnover tax at 1.5 per cent. That covers everything—you don’t need to pay other taxes,” he said.
KRA is also exploring the introduction of tax education at the high school level, while maintaining targeted engagements with colleges and training institutions.
“We want tax education to be systematic and consistent. People should clearly understand what having a PIN means, how to file returns, and why a tax compliance certificate is important, especially when dealing with government,” he said.
A softer approach to enforcement
On enforcement, Obell said KRA is taking administrative steps to protect taxpayers from undue hardship, particularly where tax debts arise from delayed government payments.
Measures include flexible payment plans and issuing agency notices to government institutions owing taxpayers, instead of freezing bank accounts.
“If your tax debt is linked to unpaid government bills, we encourage you to come forward. Tax should never push someone to extreme distress,” he said.
He added that upcoming regulatory changes would be clearly communicated to help taxpayers understand their rights and obligations.
Making compliance easier
Addressing concerns over the high number of nil returns filed by young people, Obell reiterated that filing is still mandatory even for those without income. However, KRA is simplifying the process through digital solutions.
“If you have no income, you should be able to file by simply clicking a button and closing the process. By February, these tools will be rolled out to make compliance fast and easy,” he said.
At the same time, the authority is analysing data to differentiate genuine nil filers from individuals earning income but under-declaring.
“Our objective is straightforward: make compliance simple, support young taxpayers as they grow, and build a strong culture of tax responsibility from an early age,” Obell said.
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