Here is how to import a car to Kenya the smart way. Now that you’ve reached your saving target. Are you ready to import your dream car?
This is a great start, is it? However, how are you planning on achieving this? Well, the car importation process has now been simplified.
It is important to note that, you as an importer. you may have to enlist the services of a clearing and forwarding agent.
The work of this agent is to process all the importation documents and details for you. The agent will deal with the Kenya Revenue Authority customs electronically and clear your vehicle for you.
How to Import a Car in Kenya
Although this may be true, the statutory requirement of Kenya Bureau of standards requires the following. The vehicle must Be:
- Less than 8 years old from the year of first registration.
- Right-Hand drive
- And lastly, the vehicle will be subject to roadworthiness inspection by a KEBS appointed inspection official in the country of export.
What are you Expected to Pay? – Taxes
The duty breakdown is as follows.
Import duty is 25% of the cost of the vehicle, insurance, and freight (CIF).
This duty varies with the vehicle category and is as follows.
- 30% of the cost for private passenger vehicles of the Petrol engine whose engine capacity exceeds 2500cc.
- 30% for private passenger vehicles of Diesel engines whose engine capacity exceeds 3000cc.
- And lastly, 20% for all other vehicle categories 20%
In addition to the 16% VAT, you will also be required to pay an Import Declaration Fee (IDF) that is 2% of the CIF payable.
On top of the IDF, you’ll also get to pay a Railway Developmental Levy (RDL) that is 1.5% of the customs value is also applicable.
The cost, insurance, and freight (CIF) can be determined from the current retail selling price of the vehicle (CRSP), available on the KRA website.
How to Import a Car in Kenya – Documents Required
- An Original Commercial Invoice
- Original Logbook from the country of importation. This logbook should have been canceled from the country of origin. In addition to its originality, the logbook is also required by the National Transport and Safety Authority (NTSA) for you to be issued with an original Kenyan Log Book.
- Bill of lading
- Last but not least, a pre-shipment inspection certificate aka Certificate of roadworthiness.
- Lastly, a copy of your PIN certificate.
Visit the KRA website, go to customs and border control, downloads and then click on customs downloads.
On the customs download page. Download the latest template of the following files;
- New valuation template.
- New CRSP effective.
- Open the downloaded files starting with the current retail selling price (CRSP) document.
- The CRSP file contains the list of car models with their current retail selling price values.
- Identify your vehicle type and model. For example, Audi A8 Sedan having an engine capacity of 3000cc, saloon body type, 2 wheel drive, and a diesel engine, going for Ksh 11,214,00.
Note the CRSP values indicated in the last column.
Keep in mind that the date of registration of the car should be within the prescribed 8-year limit by using the updated CRSP template, for example, September 2017.
Now, open the valuation template to compute the rate of depreciation. And then, match the age of your vehicle and the depreciation percentage using your first date of registration.
For our case September 2017, the vehicle falls under the over 6 months category as highlighted below, and the depreciation rate is 10%.
Finally, head down to the tabulation section for, and input the current retail selling price CRSP values, as highlighted in the image below followed by the depreciation rate (10%).
The system automatically calculates the total tax payable as per your entries and gives you a grand total of what you are supposed to pay, in our case Ksh 3,596,214.
That is it on How to Import a Car to Kenya, share this article if you find it useful 🙂