The 2022 Finance Bill has proposed to widen the scope of investments where pension schemes can invest their funds.
The REITs Association of Kenya (RAK) has entered into a Collaborative Agreement with the University of Nairobi (UoN) to develop the knowledge repository in Real Estate.
The REITs Association of Kenya (RAK) successfully lobbied for the re-instatement of exemption of Value Added Tax (VAT) on transfer of Assets into REITs, as noted during the 2021/22 Budget statement reading. The Cabinet Secretary, National Treasury noted that REITs can be used as a financing alternative for affordable housing, including specialized facilities like student hostels.
The Finance Act 2019 was assented to by the president on November 7th 2019. The Act contains the inclusion of the amendment to section 20 of the Income Tax Act to include the exemption of REIT investee companies from income tax i.e. section 20 (1) (d). This was the final and most important tax clarification required for REITS. Please refer to section 9 of the gazetted Finance Act, 2019.
On 24th July, 2018, the REITS Association of Kenya (RAK) signed a Memorandum of Understanding with the National Association of Real Estate Investment Trusts (Nareit). This marks the beginning of a great partnership between the two organizations.