Regulatory updates - Kenya

The Kenya Revenue Authority (KRA), in collaboration with the National Treasury, has announced the successful integration of the Electronic Tax Invoice Management System (eTIMS) with the Integrated Financial Management Information System (IFMIS).

The integration is intended to enhance transparency, strengthen accountability in government transactions, and improve tax compliance through automated validation of invoices.

Following the integration, suppliers transacting with government entities are required to comply with a number of obligations:

• Generate valid eTIMS invoices before submitting claims for payment through IFMIS.
• Ensure that invoice information submitted to government entities exactly matches the invoice data generated and recorded within eTIMS.
• Maintain an active and compliant tax status, including keeping tax records and taxpayer information accurate and up to date.

IFMIS is the Kenyan Government’s centralized platform for managing public financial processes, including procurement, budgeting, expenditure management, accounting, and supplier payments.

On November 25, 2025, the Kenya Revenue Authority (KRA) issued a public notice reminding all petroleum retailers to comply with the eTIMS Fuel Station System requirement. This system was introduced to make e-nvoicing easier and more accurate for fuel stations, replacing traditional ETRs.

What is the eTIMS Fuel Station System?

The system is designed for the fuel sector to ensure every sale is recorded and transmitted to KRA in real time. It connects with existing station systems such as forecourt controllers, point-of-sale (POS), and fuel management systems. It also supports offline invoicing, mobile payments, and loyalty programs.

Compliance deadline

All fuel stations had to integrate with eTIMS by June 30, 2025. Retailers who fail to comply by December 31, 2025, will face enforcement measures.

Integration options

Fuel stations can choose self-integration if they have internal IT capacity or work with certified third-party integrators.

On November 10, 2025, the Kenya Revenue Authority (KRA) issued a public notice announcing that, starting January 1, 2026, it will validate income and expenses declared in both individual and non-individual income tax returns. This validation will apply when filing returns for the 2025 year of income or accounting period via the iTax platform.

Declared income and expenses will be cross-checked against:

• TIMS/eTIMS records,
• Withholding income tax gross amounts,
• Import records from Customs.

All declared income and expenses must be supported by a valid electronic tax invoice, correctly transmitted with the buyer’s PIN where applicable.