Income from the use of property.
(1)
For the purposes of section 3(2)(a)(iii), "gains or profits" includes
a royalty, rent, premium or similar consideration received for the use or
occupation of property.
(2)
In the case of a lease or similar transaction, the income of a lessor
shall be determined in accordance with such rules as may be prescribed under
this Act.
(6A)
Imposition of
residential
rental Income
Tax
Finance Act, 2015 effective 1stJan 2016 , Finance Act, 2016 effective 09June 2016, FA2020, wef01January2021
(1)
Notwithstanding any other provision of this Act, a tax to be known as
residential rental income tax shall be payable with effect from the 1st
January, 2016 by any resident person from income which is accrued in or
derived from Kenya for the use or occupation of residential property, and
which - Provided that this section shall not apply where a person who would otherwise pay tax under this section, by notice in writing addressed to the Commissioner, elects not to be subject to residential rental income tax, in which case the other provisions of this Act shall apply to such a person.
(2)
The Minister may, by notice in the Gazette, prescribe regulations for the
better carrying out the provisions of this section.
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