Taxes due are specific to the product. Reference to the EAC external tariff will aid taxpayer in knowing the tariff classification and thus the duty band for import duty purpose, this is read together with the VAT Act to inform if VAT is due on the product imported. The Miscellaneous fees and levies Act informs on IDF (import declaration form), MSL (miscellaneous shippers levy), Railway Development Levy and other levies that KRA collects on behalf of other agencies.

However, for Registered Manufactures the IDF & RDL is currently at 1.5% each (the manufacturer has to be registered under KAM).

As mentioned above, the kind of machine will determine the taxes due.

The 5^th Schedule of EACCMA, 2004 provides for the importation of Motor vehicles under duty free status provided they meet the required criteria.  Section 119 of the same act provides that duties are payable upon disposal of the Motor vehicle.

Requirements

• Customs declaration
•  Valuation report
• Copy of motor vehicle records and copy of log book
• Authority to dispose Motor vehicle (PRO 1C) for diplomatic vehicles
• Previous importation customs entry

Procedure

•  Obtain a valuation report from KRA to ascertain the value of the vehicle for tax purposes.
•  Liaise with an authorized Customs clearing agent to Lodge a customs declaration using the assessed value and pay the relevant duties computed.
•  Present the vehicle for inspection by a proper Customs officer to confirm the motor vehicle details.
•  Once the customs entry has been processed, initiate the transfer process on the NTSA platform.

Every package of Cosmetics and Beauty products of tariff heading No. 3303, 3304, 3305 and 3307 imported to or manufactured in Kenya are required to be affixed with an excise stamp.

Excise stamps are issued by KRA to manufacturers with an Excise license and importers with import certificate.

Licensed manufacturers and importers lodge applications for excise stamps in EGMS system through the link https://egms.kra.go.ke/kraweb/home.seam 

• Obtain requirements for excise licenses for manufacturers and import certificate for importers from the KRA website.
• Submit your Excise license application on iTax as follows - Log in to your iTax portal, click on the registration tab, select “other registration” and click on “Excise license”. Fill in the details and submit.
• For further clarifications, please send your queries via email to exciselicensing@kra.go.ke

Manufacturers with an excise license and importers with an import certificate are required to fill the user creation form for EGMS rights and send it to egmshelp@kra.go.ke.

You will be notified on email on creation of your EGMS account and your log in credentials. A request to a book training on use of the EGMS system will also be forwarded.

Log in to the EGMS system, click on “SKU MANAGEMENT MODULE”, select “Submit new” or “modified SKU”; update product details and submit.

Log in to the EGMS system, click on “ORDERING” module, select “MANAGE FORECAST” and input your monthly stamp usage projections for the next 6 months.

Log in to the EGMS system and create an order. The order will be reviewed and approved at your Tax Service Office (TSO) to enable you to generate a payment slip through the EGMS system for payment.

Paper stamps are collected at the EGMS Help desk on ground floor at KRA Times Tower, while the digital excise stamps are added automatically to the EGMS equipment at the production line.

The cost of an excise stamp for Cosmetics and Beauty products is Kshs. 0.6.

For locally manufactured goods, excise stamps are to be affixed at the production facility immediately after packaging.

For imported goods, excise stamps are affixed at a place approved by the Commissioner within five days of clearance of the imported goods for home use

Log in to the EGMS system, click on the “Digital Activation System” (DAS); select “Declare Usage of The Stamps”; select the available Packaging unit (PU) and select the product on which the stamp has been affixed

Yes, you can declare usage of the excise stamps through a mobile App solution called “Smart Digital Activation System” (SDAS) available for download on Google play and Apple store

Yes, through use of EGMS equipment. Submit your request to egmshelp@kra.go.ke. KRA will conduct a Technical Site Visit (TSV) and advise accordingly

Yes. Failure to affix excise stamps is an offence which attracts a fine not exceeding five million shillings or imprisonment for a term not exceeding three years or both.

For locally manufactured goods, Excise duty is charged when goods are removed from the excise licensed factory. For imported goods, Excise duty is due at the time of importation

All cosmetics and beauty products of tariff heading No. 3303, 3304, 3305 and 3307 imported to or manufactured in Kenya attract excise duty at a rate of 15%.

Excise duty charged by licensed manufacturers on excisable goods removed from the excise factory during a calendar month is payable by 20^th day of the following month.

 Excise duty charged on imported excisable goods is paid at the time of importation.

A Tax amnesty is a limited time offer targeted for a class of Taxpayers with an aim of addressing a specific problem or achieving a specific objective. The Tax Procedures (Amendment) Act, 2024 Sec 37E extended tax amnesty on interest, penalties or fines on the unpaid tax that have accrued up to the 31^st December, 2023.

A person qualifies for the tax amnesty on penalties and interest where the person -

• Has no principal taxes owed but there are penalties and interest for periods up to 31^st December 2023.
• Fully pays any outstanding principal taxes accrued up to 31^st December 2023, by 30^th June 2025.