The Ultimate Guide On How To Calculate Import Duty For Used Cars In Kenya

Importing used cars in Kenya? Here is how you calculate import duty.
Many people find it difficult to understand how it is done. As a result, we have broken it down below.

Custom Duty

This is determined out rightly by the kind of vehicle imported.
These factors determine the custom duty charged:

• Make of the Car – i.e Toyota , Nissan, Mazda, etc
• Model of the Car– i.e Vits, March, Demio, etc.
• Class of the Car– i.e. Station Wagon, Saloon, Van, etc.
• Year & Month of Manufacture– i.e. 2012/03 (March), 2013/07 (July), etc.
• Engine Capacity– i.e. 1000cc, 1300cc, 1500cc,etc.
• Engine Transmission– i.e. Manual or Automatic.
• Fuel Type– i.e. Petrol, Diesel, Hybrid.

These details eventually affect the Current Retail Selling Price(CRSP) if buying it new from a showroom.

Car Duty Calculation

Here, the CRSP (Current Retail Selling Price) is taken. Margin profit is deducted. Depreciation is charged to the cars year of manufacture as per the stipulated depreciation rate. Taxes on the price is deducted. The remaining amount becomes the value base for vehicle’s duty calculation. 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
• 25% of the amount as-IDF Fees

The total is then payable to the National Bank Of Kenya or Co-operative Bank of Kenya

CFS/Port Charges

The CFS (Container Freight Station) charges varies with the size (Volume or cubic measurement) of the unit and the Yard which the vessel discharges/unloads.
Saloon Cars like Toyota NZE 11cbm is around Ksh. 18,000/- to 22,000/- .
This is what you will pay if cleared within stipulated time allowed by the customs (i.e. 7 days). Its 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, Ksh. 5,000/- is payable upfront to Treasury via National Bank/Co-op Bank

Shipping Line Charges – Delivery Order Fees

This averages to Ksh. 10,000/- + VAT which amounts to an average of Ksh. 12,000/-.
This is payable to the agents of the Vessel/ships which shipped your cargo and it is against their invoice.

Clearance Fees

Clearing and Forwarding fees depends with the agreement you have with your clearing and forwarding agent.

Usually, it ranges from Ksh. 15,000/- to 30,000/- for the units and 25,000 on wards for Containers.

Fee paid to agent.

Other costs that may be involved but as per your arrangement are:

• Insurance – (Depends on your insurer)
• Delivery – (Fuel used to your destination)
• Driver Charges – (Paid to the driver who drives the car from the port to the client)
• Minor Car Service

We understand this process can be hectic and confusing.
With the rapport created with our dealers coupled with experience, Bk Autos will import on your behalf.
Check out your car of choice, then talk to us.