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KRA eTIMS and ETR

Do I need eTIMS if I am not VAT registered?

Updated June 2026

Short answer

Yes. eTIMS is not only about VAT. KRA expects businesses to issue electronic invoices regardless of VAT status, and from 2024 expenses must be backed by an eTIMS invoice to be deductible. A non-VAT business still needs to issue compliant receipts.

More detail

Many small businesses assume eTIMS is a VAT-only rule. It is broader than that. The lighter eTIMS options exist precisely so small and non-VAT taxpayers can comply without heavy systems.

There is also a commercial reason. Your registered customers need an eTIMS invoice from you to claim their own expenses, so being unable to issue one can cost you their business.

Free tools for this
eTIMS Readiness Checker for Kenyan Businesses

Related questions

Is eTIMS Lite enough for a small business?
For many small and non-VAT taxpayers, yes. It is designed for low volumes and simple invoicing. A growing shop with a busy till is usually better served by POS-based billing.

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.

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Read more

Guide
eTIMS for Small Businesses in Kenya: A Practical Guide
Read
Guide
eTIMS Lite: The Free Option for Small Taxpayers in Kenya
Read
Terms explained
eTIMS (Electronic Tax Invoice Management System)KRA PIN

More KRA eTIMS and ETR questions

Can eTIMS work without internet?What happens if eTIMS is down?Is ETR still mandatory in Kenya?How long does eTIMS registration take?Can I use eTIMS on my phone?Is there a penalty for not issuing an eTIMS invoice?