1.KRA Section 16 Tax Calculator: Audit Your 2026 M-PESA Expenses & eTIMS Risks
KRA Section 16 Tax Calculator tools are no longer optional—they are survival gear for Kenyan businesses entering the 2026 fiscal year. With the Finance Act fully enforcing Section 16, any expense not supported by a valid eTIMS invoice is now treated as taxable profit, effectively increasing your liability by 30%. This page provides the only “Tax Shield” tool in Kenya that calculates your M-PESA transaction charges while simultaneously auditing your exposure to disallowed tax expenses.
2026 M-PESA Charges & Section 16 Audit Tool
How to Read Your Tax Exposure Results
The calculator above splits your costs into two categories: “Standard Transaction Fees” and “Tax Audit Risks.” Under the new Finance Act 2026, the KRA requires everyone to comply with begining 1st January 2026
2.Why the 2026 Section 16 Regime Changes Everything
The era of “handshake expenses” is over. Previously, KRA might have overlooked casual labor or “Mama Mboga” supplies. Under the strict enforcement of Section 16:
- Non-eTIMS Expenses are Disallowed: If you spend KES 10,000 on supplies without an eTIMS receipt, KRA treats that KES 10,000 as profit.
- The 30% Penalty: You will pay 30% Corporation Tax on that “ghost profit.”
- The Double Loss: You lose the cash you spent, and you owe tax on money you no longer have.
3.How to Use the MyCyber Tax Shield Calculator
We have integrated the official 2026 M-PESA Tariff bands with a corporate tax audit logic.
Enter your transaction amount to see the exact Send to Registered, Withdrawal at Agent, and ATM fees. Our system uses the latest Safaricom 2026 tariff data, ensuring you don’t under-send cash to your suppliers.
Toggle the Business Tax Audit switch. This is where the magic happens.
- eTIMS Validation: Select whether the supplier is offering an eTIMS-compliant receipt.
- Risk Analysis: If you select “No,” the calculator immediately computes your “True Cost”—adding the 30% tax penalty to your transaction cost.
2026 Fuliza Manager & Debt Liquidity
Liquidity is king. Our tool includes a Fuliza Manager that calculates the new 2026 Excise Duty (20%) on access fees and daily maintenance charges. Do not borrow blindly; know exactly how much interest will accumulate over 30 days.
4.Who Needs This Tool?
- SME Owners: To decide whether to trade with non-compliant suppliers.
- Freelancers: To separate personal M-PESA usage from business deductions.
- Landlords: To audit maintenance costs before filing monthly rental income returns.
Common “High Risk” Transactions to Watch
Be careful when using M-PESA for these categories without generating an eCitizen or eTIMS invoice:
- Casual Labor (Fundis)
- Transport (Boda Boda/Taxis)
- Office Supplies (Perishables)
Disclaimer
This tool is for estimation and technical validation purposes only. While updated for the 2026 tax regime, it does not constitute legal tax advice. Always consult a certified tax accountant for final returns.
