The Kenya Revenue Authority (KRA) has surpassed the Sh1 trillion mark in revenue collection, raising Sh1.010 trillion by the end of October 2026, a milestone achieved a month earlier than in previous financial years.
In a statement, the tax agency said the achievement reflected improved revenue mobilisation and a positive trajectory in collections as it seeks to meet its annual revenue targets.
KRA also exceeded its October 2026 revenue target, collecting Sh260.630 billion against a target of Sh258.304 billion, representing a growth of 15.5 per cent compared to the same period in the 2025/2026 financial year.
The authority attributed the performance to improved collections across key revenue streams, with Customs recording its highest-ever monthly revenue collection in its history.
Customs collected Sh94.793 billion in October, representing an 11.3 per cent increase compared to the corresponding period in the previous financial year.
Corporation Tax collections stood at Sh23.932 billion, with four key sectors accounting for approximately 81 per cent of the total collections.
The sectors included electricity, manufacturing, transportation and wholesale, which continued to contribute significantly to corporate tax revenue.
KRA also reported improved performance in Domestic Excise Duty, which surpassed its target for the first time in an extended period, recording a surplus of Sh945 million and growth of 54.1 per cent.
Domestic Value Added Tax (VAT) collections also exceeded the October target by Sh45 million, reaching Sh33.367 billion and registering growth of 22.1 per cent.
The authority attributed the growth in domestic VAT to increased remittances from manufacturers of keg beer, premium beer, wine and spirits, as well as tobacco products.
Collections from premium beer, wine and spirits, and tobacco recorded respective growth rates of 43.5 per cent, 110.8 per cent and 94.1 per cent, while keg beer recorded growth of 0.3 per cent.
The improved revenue performance comes amid government efforts to strengthen domestic revenue mobilisation and reduce reliance on borrowing to finance public expenditure.
KRA thanked taxpayers for supporting the revenue collection drive, saying their compliance remained critical to sustaining economic development.
“KRA appreciates all taxpayers for remaining committed to honouring their tax obligations and supporting Kenya's economic sustainability and development,” the authority said.
