What this means for you

Every rate levied by a county government shall become due in the financial year for which it is levied and shall become payable on the day appointed by the County Executive Committee (CEC) member responsible for matters relating to land. The CEC shall sixty (60) days prior to the due date, publish a notice in the Kenya Gazette, indicating the day for payment of rates and the amount payable. After the notice is published, rateable persons will have a duty to pay the amounts due. The County Government may prescribe that payment be made one-off or in instalments

The Act requires rates to be paid promptly as and when they fall due and introduces additional overdue rates recovering mechanisms. For instance, under the Act, where any person fails to pay any rates or interest due from them within the time specified by the County Government, the County Government may give a written demand for payment to be made within sixty (60) days after service of the demand. In default, the County Government may levy a penalty at Central Bank of Kenya rates, deny certain county services, institute a suit against the defaulter, register a charge against the rateable property, appoint a receiver to recover rent from tenants and occupiers, apply to be a beneficiary in a deceased’s estate, levy attachment of debts or auction the rateable property to recover the rates.

1.Introduction

For over sixty (60) years, land valuation and the imposition of rates were governed by the Valuation for Rating Act and the Rating Act. However, on December 4, 2024, the President signed the National Rating Bill, 2022 into law (the National Rating Act, 2024 (the Act)). The Act, which came into effect on 24th December 2024, repealed the above two statutes.

2. Scope, Purpose and objects of the Act.

The Act introduces a comprehensive and uniform legal framework and mechanism for imposition of rates on, and use of technology in valuation and rating of, land and buildings by County Governments. It also provides for the role of Chief Government Valuer in collation of valuation rolls.