KRA Duty Calculator for Cars, Motorcycles, and Import Tax 2024

Are you planning to import a car, motorcycle, or any other vehicle into Kenya in 2024? Are you concerned about the taxes and duties you'll need to pay? Well, you're in luck because we've got you covered. Lucky for you, in this article, we have compiled everything that you need to know about 

KRA duty calculator for cars, motorcycles, and import tax in 2024. 

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Now, let us get started.

Importation Procedure for Motor Vehicles

Before delving into the details of the KRA duty calculator, let's first understand the importation procedure for motor vehicles in Kenya. Importing a vehicle involves several regulations and requirements. Your vehicle must comply with the Kenya Bureau of Standards regulations, specifically Legal Notice No. 78 of 15th July 2005 (Verification of Conformity to Kenya Standards Imports Order, 2005) and KS1515:2000 Kenya Standard Code of Practice for Inspection of Road Vehicles. Here are some essential requirements:

1. The imported vehicle must be less than eight years old from the year of first registration.
2. It will undergo roadworthiness inspection by a KEBS-appointed inspection agent in the country of export.
3. The vehicle must be Right-Hand Drive (RHD).

Additionally, you can use the new motor vehicle valuation template during the importation process.

Taxes Applicable in Motor Vehicle Importation

Let's get into the nitty-gritty of taxes and duties applicable to motor vehicle imports in Kenya. These include:

Import Duty (25%)

• Ambulances and hearses (0%)

Excise Duty

• Motor cars and other motor vehicles are principally designed to transport persons.
• Other vehicles with a cylinder capacity exceeding 1,000 cc but not exceeding 1,500 cc, assembled (20%)
• Other vehicles with a cylinder capacity exceeding 1,500 cc but not exceeding 3,000 cc, assembled (25%)
• Other vehicles with a cylinder capacity exceeding 3,000 cc, assembled (35%)
• Other vehicles with a compression-ignition internal combustion piston engine (diesel or semi-diesel) of a cylinder capacity not exceeding 1,500 cc, assembled (25%)
• Other vehicles with a compression-ignition internal combustion piston engine (diesel or semi-diesel) of a cylinder capacity exceeding 1,500 cc but not exceeding 2,500 cc, assembled (25%)
• Other vehicles with a compression-ignition internal combustion piston engine (diesel or semi-diesel) of a cylinder capacity exceeding 2,500 cc, assembled (35%)
• Other vehicles with both spark-ignition internal combustion reciprocating piston engines and electric motors as motors for propulsion, other than those capable of being charged by plugging into an external source of electric power (25%)
• Other vehicles with both compression-ignition internal combustion piston engines (diesel or semi-diesel) and electric motors as motors for propulsion, other than those capable of being charged by plugging into an external source of electric power (25%)
• Other vehicles with both spark-ignition internal combustion reciprocating piston engines and electric motors as motors for propulsion, capable of being charged by plugging into an external source of electric power (25%)
• Other vehicles with both compression-ignition internal combustion piston engines (diesel or semi-diesel) and electric motors as motors for propulsion, capable of being charged by plugging into an external source of electric power (25%)
• Other vehicles with only an electric motor for propulsion (10%)

Value Added Tax (16%)

Import Declaration Fees (3.5%)

Railway Development Levy (2%)

Required Documents for Importation

To facilitate the importation process, you'll need to provide certain documents. These include:

• Original Commercial Invoice
• Original Logbook from the country of importation, cancelled from the country of origin (required by the National Transport and Safety Authority to issue an original Kenyan Log Book)
• Original Bill of lading
• Pre-shipment inspection certificate (certificate of roadworthiness)
• Copy of your PIN certificate or certificate of incorporation (applicable to companies)

Motor Vehicle Importation Process

The motor vehicle importation process shares similarities with importing other goods. Once you have all the required documents and have ensured your vehicle meets the necessary standards, you can proceed with the importation process.

Now that we've covered the importation procedures and taxes let's dive into the KRA duty calculator, which will help you estimate the amount you'll need to pay for your imported vehicle.

KRA Duty Calculator for Cars and Motorcycles

The online KRA duty calculator makes determining the taxation figure for your imported car, motorcycle, or any other vehicle more accessible. You can access this tool from your home without complex calculations or lengthy queues.

KRA Duty Calculator Guide

Compliance with Kenya's tax laws is essential to avoid penalties and additional costs. Here's a step-by-step guide on how to use the KRA duty calculator for PAYE, VAT, motorcycle imports levy, and car tax in Kenya:

Requirements:

• Active internet connection
• A mobile phone or PC
• Details of the vehicle/motorcycle/gross salary
• A web browser
• Basic computer skills

PAYE Calculator

PAYE (Pay As You Earn) is a method of collecting taxes from employed individuals. To calculate your PAYE:

1. Ensure you have an internet connection through mobile data, Wi-Fi, or a LAN cable for your PC.
2. Open your web browser (on a smartphone, find the browser app in your app list; on a PC, double-click or use the right-click menu to launch your browser).
3. Go to the KRA website and navigate to the online calculator. Select "Calculate My Taxes" from the service options.
4. Click the "Get Started" button next to the service box.
5. Choose the PAYE calculator and proceed.
6. Specify the taxation period by entering the year details and payment period.
7. Enter your gross salary, which is your total monthly income before deductions.
8. Provide details about your contribution benefits.
9. Indicate whether you have a disability exemption certificate.
10. Enter mortgage details if applicable.
11. Include information about homeownership and insurance relief.
12. Tap the "Calculate" button at the end of the form.

The calculated PAYE amount will be displayed on the same page.

Motorcycle KRA Import Duty Calculator

If you're importing a motorcycle, use these steps to determine the import duty:

1. Follow steps 1 to 5 from the PAYE procedure to connect to the internet, open your browser, and access the KRA website.
2. Select "Motorcycle Import Duty" from the options.
3. Specify the importation period by entering the correct month and year.
4. Choose a motorcycle brand, such as BMW, Yamaha, Honda, Suzuki, Kawasaki, KTM, or Ducati.
5. Indicate the model number from the pre-listed options.
6. Enter the engine size.
7. Click the "Calculate" button to display the figures on the same page.

KRA Car Import Duty Calculator

For those looking to import a car, here are the steps to calculate the import duty:

1. Use steps 1 to 5 from the PAYE procedure to access the KRA website and navigate to the calculators.
2. Choose the "Motor Vehicle Import Duty" calculator and click the "Calculate" button.
3. Specify the period of importation by entering the month and year details.
4. Select the appropriate vehicle from the list of options.
5. Choose the body type based on your selection in the previous step.
6. Indicate the vehicle model, as it is critical in calculating levies.
7. Enter the engine size, which also influences the total levies.
8. Finally, click the "Calculate" button, and the KRA car duty calculator will display the total amount to be paid on the same page.

KRA VAT Calculator

To determine the Value Added Tax (VAT) you'll pay for locally bought vehicles and items within Kenya, follow these steps:

1. Visit the KRA website.
2. Navigate to the calculator's section and click "Get Started" to access the self-service options.
3. Choose the "VAT Calculator" and click "Calculate."
4. Enter the purchase amount, such as the cost of the car or item.
5. Specify the applicable VAT rate (consult relevant authorities for this percentage).
6. Choose whether to add or remove VAT based on whether the amount entered includes taxation.
7. Click "Calculate" to get the VAT amount, which will be displayed on the same page.

Please note that this procedure applies to goods bought within the country and not to imported items that have their tax calculations.

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Final Thoughts

Using the KRA duty calculator simplifies determining the taxes and duties associated with importing or purchasing vehicles and goods in Kenya. However, remember that this is a guideline, and additional charges such as port fees, registration fees, maritime tax, and fuel expenses may apply. Ensure you have all the necessary documentation and information to calculate your tax obligations accurately.