Here are the top 5 charges for vehicle imports in Kenya.
1. Customs Duty for Car and Motor Vehicles
Customs Duty for the importation of cars and motor vehicles in Kenya varies depending on the type of vehicle. Customs duty depends on several factors. These details affect the overall Current Retail Selling Price (CRSP) of the car when buying it brand new from the showroom. The CRSP is basically the price that you will pay for a brand new version of the car you are importing. The following information is to be considered upon importing.
- Make of the Car
- Model of the Car
- Class of the Car
- Year & Month of Manufacture
- Engine Capacity
- Engine Transmission
- Fuel Type
When calculating duty, customs takes the CRSP and then deduct margin profit, depreciates it to the cars year of manufacture as per the stipulated depreciation rate. Customs, then, deduct the percentage taxes slapped on the price. The remaining amount is what Customs bases their values on. The charges are calculated as follows:
- 25% of the amount as – Import Duty
- 20% of the amount + Import Duty as – Excise Duty
- 16% of the amount + Import Duty + Excise Duty as -VAT
- 2.25% of the amount as-IDF Fee
The total is payable to the NBK (National Bank of Kenya) and/or Co-operative Bank of Kenya as Customs Duty.
- Container Freight Station (CFS) / Port Charges
The CFS and Port Charges varies with the size (Volume or cubic measurement) of the unit and the Yard which the vessel discharges or unloads. For vans like Toyota Hi-Ace, the pay is around 30,000 to 26,000 Kenyan Shillings. For 4 wheel drive cars like Prado, it is around 34,000 to 30,000 Kenyan Shillings. As for saloon cars like Toyota Corolla NZE 11cbm is around 22,000 to 18,500 Kenyan Shillings.
This is what will be payed if cleared within stipulated time allowed by the customs (i.e. 7 days). It is payable against Invoice from the Port / CFS (Container Freight Station.)
- IDF Fees
The IDF (Import Declaration Form) fees are charged at a rate of 2.25% of the cost of Customs Value. Regardless of your import, 5,000 Kenyan Shillings is payable upfront to Treasury via National Bank/Co-op Bank.
- Shipping Line Charges – Delivery Order Fees
This normally averages 10,000 Kenyan Shillings + VAT which amounts to an average of 12,000 Kenyan Shillings. This amount is payable to the agents of the vessel which shipped cargo and it is against their invoice.
- Clearance Fees
Clearing and Forwarding fees normally depends with the agreement you have with your Clearing and Forwarding Agent. Mostly it will range from 15,000 to 30,000 Kenyan Shillings for the units and 25,000 onwards for Containers. It is a negotiable fee and it is paid to the clearing agent.
Other costs that may be involved but as per arrangement are:
- Insurance (as per insurer)
- Delivery (fuel to destination)
- Driver Charges (charges for the driver)
- Minor Car Service (good measure to give the car a clean bill of health for delivery and initial use)