Kenya Revenue Authority would like to state that paragraph 6 of Part A of the Fifth Schedule to the Value Added Tax (VAT) Act, zero rates;

“The supply of goods and taxable services to exporters under conditions prescribed by the Commissioner”.

A registered person who supplies goods and taxable services to an exporter is required to charge and collect VAT from the exporter.  Under regulation 10(1) of the Value Added Tax Regulations, taxable goods or services exported by a registered person shall be zero-rated if evidence of exportation consisting of:-

1. in the case of goods the invoice showing the sale of the goods to the purchaser; and
2. copy of the export entry duly certified by the proper officer of Customs at the port of export; and
3. in the case of goods, copies of the bill of lading, road manifest or airway bill, as the case may be; and
4. in the case of sugar and all excisable goods, a certificate signed by the Commissioner of Customs that the goods have been examined and loaded into sealable vehicles or containers under a tamper proof seal number duly endorsed on the export entry.

Exporters who provide evidence as detailed above shall be eligible for refund of the VAT paid at the time of purchase of the goods.

Commissioner of Domestic Taxes.