A Nairobi landlady who waived January rent for her tenants has revealed the cost implications of the kind gesture.
Speaking to the media on Wednesday, January 11, Martha Wanjiru, who owns a 15-house apartment block in Rongai explained that the move set her back hundreds of thousands.
"Each home pays Ksh10,000 rent which brings the sum to Ksh150,000. Besides that, there is the rental income tax, which will pay from my pockets.
"When you gift someone, you do not do it with underlying conditions," Wanjiru told Citizen TV.
According to the law, each owner is required to remit 10 per cent of their gross residential rental income and file returns on the same before the 20th day of the following month.
The landlady stated that she would also have to pay the caretaker, whom she revealed was her brother, as well as meet other maintenance costs.
Wanjiru disclosed that a new tenant who moved into the only vacant house on January 1, was also exempted from rent. She explained that the waiver was her way of giving back to the community.
"I made a vow that if my son passed his secondary school and joined the university, then I would help other parents shoulder the burden that comes with paying fees," the real estate owner noted.
Nonetheless, she asked other tenants not to pressure their landlords into pardoning them adding that there were a lot of factors in play.
For instance, if a building has 50 houses whose rent is Ksh30,000 may have to pay more in rental income tax. -Ksh150,000.
In addition facilities such as lifts, generators, electric fences and maintenance costs of security lights and pumping water may also be higher.
Another fact that cannot be wished away is that some landlords take loans to build houses with rental income as the agreed mode of payment.
