A plain-English guide to rental-income tax under the Income Tax Act (Cap. 323). Rates, thresholds, deadlines, and a calculator that uses the same cash-basis formula RentBook uses to keep you compliant — month after month.
Three bands, each applying a flat rate to total gross rent (1 January – 31 December). Worked example: portfolio receiving K 1,000,000 / year — in the 16% band.
| Band | Rate | On a portfolio receiving K 1,000,000 |
|---|---|---|
|
Tax-free · Up to K 30,000 / yr
Annual gross rental income of K 30,000 or less. No monthly remittance required.
|
0%
exempt
|
— portfolio not in this band |
|
Band 1 · K 30,001 – 800,000 / yr
Final tax on total gross rent. No deductions for expenses, repairs, or agent fees.
|
4%
of total gross
|
— portfolio not in this band |
|
Band 2 · Above K 800,000 / yr
16% applied to the entire portfolio once the K 800,000 threshold is crossed.
|
16%
of total gross
|
K 160,000 16% of K 1,000,000 |
| Total owed for the year | K 160,000 16.0% effective rate · 1,000,000 portfolio | |
Rates reflect the 2026 budget as enacted in Income Tax (Amendment) Act, 2025, effective 1 January 2026. Rental income is taxed separately from PAYE; you cannot offset rental losses against employment income. USD-denominated rents are converted at the Bank of Zambia mid-rate on the date the payment was received. Always confirm with a registered tax practitioner — RentBook is software, not advice.
Enter your annual gross rent — across every property you let. The calculator applies the bands above.
Miss it and ZRA charges 5% + 2% per month — compounding.
return code · TT 04 — return type · monthlyAnnual gross of K 30,000 or less — no rental tax due, but ZRA registration is still required.
threshold · K 30,000 / year gross rental income