ADVOKS GLOBAL · KENYA
Income Tax Act
7B. Repratiated income
Edition: 2026-07-01 · In force
7B. Repratiated income
(1)A non-resident person who carries on business in Kenya through a permanent establishment shall pay tax on repatriated income for the year of income.(2)The repatriated income under subsection (1) shall be computed using the following formula–R=A1 + (P - T) – A2Where–R is the repatriated profit;A1 is the net assets at the beginning of the year;P is the net profit for the year of income calculated in accordance with generally accepted accounting principles;T is the tax payable on the chargeable income; andA2 is the net assets at the end of the year.(3)The tax imposed under this section shall be in addition to tax chargeable on the income of the permanent establishment under section 4.(4)For the purposes this section, “net assets” means the total book value of assets less total liabilities for the year of income and shall not include revaluation of assets.