Question 1

How is import duty calculated in Kenya?

Accepted Answer

Import duty in Kenya is calculated based on the Current Retail Selling Price (CRSP), vehicle age (depreciation), and applicable tax rates. The total duty includes: Customs Value (CIF), Import Duty (25-35%), Excise Duty (10-35% depending on engine size), VAT (16%), Railway Development Levy (RDL), and Import Declaration Fee (IDF).

Question 2

What is CRSP in KRA duty calculation?

Accepted Answer

CRSP stands for Current Retail Selling Price. It is the reference price set by KRA for different vehicle models used to calculate import duty. The CRSP is based on the vehicle's retail price in the country of origin and is updated periodically by KRA.

Question 3

How much duty do I pay for importing a car to Kenya?

Accepted Answer

The total import duty for a car in Kenya typically ranges from 30% to 50% of the customs value, depending on the vehicle's engine capacity and fuel type. This includes Import Duty (25-35%), Excise Duty (10-35%), VAT (16%), RDL (1.5-2%), and IDF (2-2.5%). Use our calculator for an accurate estimate based on your specific vehicle.

Question 4

What is the maximum age of a car that can be imported to Kenya?

Accepted Answer

Kenya allows the importation of vehicles that are not more than 8 years old from the date of first registration. Vehicles older than 8 years may face restrictions or higher duties.

Question 5

How does vehicle depreciation affect import duty in Kenya?

Accepted Answer

Vehicle depreciation reduces the customs value used to calculate duty. KRA applies depreciation rates based on the vehicle's age: newer vehicles have lower depreciation (10-20%), while older vehicles (7-8 years) can have up to 65% depreciation. This means older vehicles generally attract lower absolute duty amounts.

Question 6

What is the difference between Import Duty and Excise Duty?

Accepted Answer

Import Duty is a tax charged on goods entering Kenya, typically 25-35% of the customs value for vehicles. Excise Duty is an additional tax on specific goods considered luxuries or non-essentials. For vehicles, excise duty rates vary by engine capacity: 20% for engines up to 1500cc, 25% for 1501-3000cc, and 35% for engines above 3000cc (petrol) or 2500cc (diesel).