Tax and money

Do I charge VAT if I am not VAT registered?

Updated June 2026

Short answer

No. If you are not registered for VAT, you do not charge VAT on your sales and you cannot claim VAT on purchases. You must register once your taxable turnover crosses the KRA threshold, after which charging VAT becomes mandatory.

More detail

Charging VAT while unregistered is a serious error, because you would be collecting a tax you are not authorised to collect. If you are below the threshold, your prices simply do not include VAT.

Keep an eye on your turnover. As you approach the registration threshold, plan ahead so your pricing and billing are ready to handle VAT from the day you register.

Related questions

When must I register for VAT in Kenya?
When your taxable turnover passes the KRA registration threshold. Confirm the current figure with KRA, and prepare your billing before you cross it.

Veira gives Kenyan shops one calm app for selling, M-Pesa, KRA eTIMS and stock, with a free terminal. Book a demo and see it set up for your trade.

Read more

Terms explained

More Tax and money questions