Lack of written tenant-landlord agreements hampers tax collection

The rental building where a 21 year old man was Locked  inside the house by the landlord by  welding the door over sh 10,000 rent arrears on August 12,2020.Nakuru town west Deputy County commissioner Elmi Shaffi and area Chief was forced to cut the door using a metal grinding machine.The man spend seven days inside the house before he was rescued. [Kipsang Joseph,Standard]

The lack of tenancy agreements between landlords and tenants as detailed in the Kenya Housing Survey Basic Report 2023-24 explains why this section of businesses has been a challenge for the taxman to net. 

Several efforts by the Kenya Revenue Authority (KRA) over the years to formalise landlords’ businesses have not been as fruitful, with data from the Kenya National Bureau of Statistics (KNBS) indicating that seven out of 10 tenants do not have a written agreement with their landlords.