Car import duty in Kenya (2026): how KRA calculates it, with worked examples

Figures checked on 29 October 2026.

When you import a used car, KRA does not tax the price you paid at the auction in Japan or the dealer in the UK. It taxes a value it works out from its own price list, the CRSP. This guide walks through each step, the rates in force today, and three worked examples you can check yourself.

Step 1: the CRSP (Current Retail Selling Price)

The CRSP is KRA's list of what each model costs new. Every row is tied to a make, model, model code and engine size. A Prado TX and a Prado TX-L have different CRSPs, so the model code on your export certificate decides which row applies.

The newest list on KRA's website is the July 2025 CRSP list. KRA's public notice of 30 May 2025 said it would apply from 1 July 2025. In its press release of 6 June 2025, KRA said the list has more than 5,200 models (the 2019 list had about 3,000). It said the review was needed because the shilling had moved from about KES 100 to about KES 130 per US dollar, and import duty had gone from 25% to 35%.

There is no separate "2026 CRSP list". If someone shows you one, ask where KRA published it.

Is the July 2025 list in force? The court position

Plainly: it is not settled.

• On 20 June 2025 the Car Importers Association of Kenya sued KRA in the High Court in Mombasa, saying the list was published without proper public participation (Business Daily).
• On 30 June 2025, in a separate petition, Justice Joe Omido in Kisumu suspended KRA's circular and notice on the new list until 17 July 2025 (Business Daily).
• On 7 September 2026 KRA said the vehicle valuation dispute "is currently before the Court" and it would not comment on the merits (Kenyans.co.ke, The Star).

We could not find a final judgment, or a KRA notice saying which list it applies at clearance today. Press reports disagree. Our examples use the July 2025 list because it is the latest one KRA has published. Before you commit to a car, ask your clearing agent which list KRA used on their most recent entry for the same model.

Step 2: depreciation

KRA reduces the CRSP for age. Its July 2025 template (the "TEMPLATE 2025" sheet in the list file) has two tables.

Direct imports (cars shipped into Kenya)

• Over 1 year, up to 2 years: 20%
• Over 2, up to 3 years: 30%
• Over 3, up to 4 years: 40%
• Over 4, up to 5 years: 50%
• Over 5, up to 6 years: 55%
• Over 6, up to 7 years: 60%
• Over 7, up to 8 years: 65%

The template has no band for one year or less, so a car that new gets no depreciation. It counts age in whole calendar years: the current year minus the car's year. A car first registered in 2019 and cleared in 2026 counts as 7 years old, so it gets 60%.

One thing to check: KRA's press release says age runs from manufacture or first registration, while the template labels the year "YOM" (year of manufacture). If your car was built in one year and registered the next, ask your agent which year KRA used. It can move the car into a different band.

Previously registered in Kenya

The template also has a steeper table for vehicles previously registered in Kenya. It runs from 20% at 1 year to 83% at 8 years and 95% over 15 years, and that column leaves out IDF and RDL. It is not the table for a car you are shipping in.

Step 3: from CRSP to customs value

The CRSP is a retail price with taxes built in, so KRA's template strips them back out. For a direct import the template's formula is:

Customs value = CRSP ÷ 1.25 × (1 − depreciation) ÷ 1.35 ÷ (1 + excise rate) ÷ 1.16

1.35 removes the 35% import duty, the excise step removes excise, and 1.16 removes VAT. The template does not explain the first ÷ 1.25 step, but it applies it to every vehicle class.

Step 4: the five charges

• Import duty: 35% of customs value. The East African Community tariff rate for cars is 25%. Kenya applies 35% under a one-year "stay of application" in the EAC Gazette of 30 June 2026 (Legal Notice EAC/160/2026), which covers tariff headings 87.02, 87.03 and 87.04.
• Excise duty, charged on customs value plus import duty. Under the Excise Duty Act: 20% for 1500cc or less, 25% above 1500cc, and 35% for petrol cars above 3000cc and diesel cars above 2500cc (tariff lines 8703.24.90 and 8703.33.90). Fully electric cars pay 10%. Hybrids are classed under other tariff lines, so on KRA's template a hybrid above 1500cc sits in the 25% band.
• VAT: 16% of customs value plus import duty plus excise.
• Import Declaration Fee (IDF): 2.5% of customs value.
• Railway Development Levy (RDL): 2% of customs value.

The IDF and RDL rates match KRA's template and PwC's Kenya tax summary (last reviewed 17 July 2026). KRA's own FAQ page on used-car duty still shows older rates (25% duty, 2% IDF, 1.5% RDL), so don't rely on it. The Finance Act 2026 did not change these rates for ordinary cars. It added a 50% excise rate for classic cars at least 30 years old and worth over KES 10 million, which does not affect normal imports.

Worked examples: 2019 cars arriving in November 2026

We ran these through MNM's free import calculator on 29 October 2026, using the July 2025 CRSP list. You can try your own model there too. Each car is a direct import first registered in 2019, so depreciation is 60%. We rechecked every figure by hand against KRA's template formula.

Lines are rounded to the nearest shilling, so they may not add up to the total exactly.

What the examples show

• Engine size matters a lot. The Prado's 2.8-litre diesel is above 2500cc, so it pays 35% excise. That is why its bill is far higher than the Harrier's, even though their CRSPs are not far apart.
• The right row matters. The July 2025 list has several Prado TX-L rows. The Black Edition (3DA-GDJ150W), for example, is listed at KES 9,431,308. Match the model code on the export certificate, not just the name.
• These are taxes only. Shipping, insurance, port and clearing charges, the pre-export inspection and NTSA registration all come on top.

Paperwork that now affects your duty

Since 1 September 2026, section 23B of the Tax Procedures Act (added by the Finance Act 2026) requires importers to hold an export declaration or export certificate from the country of export and keep it for five years. If you can't produce it, KRA can reject your declared details and reassess the tax (Kenyans.co.ke). Keep the original export certificate safe.

Questions buyers ask

Is there a KRA CRSP list for 2026?

No. As of 29 October 2026, the newest list on KRA's website is the July 2025 list, and its use is still before the courts.

Does KRA use the price I paid at auction?

Not for used cars valued from the CRSP. KRA says it gets the customs value of a used vehicle by applying depreciation to the CRSP. Your invoice still matters for your records and for the new export declaration rule.

My model is not on the list. What happens?

KRA admits some models are missing and says it will update the list. It asks importers to contact [email protected]. Get a written valuation before you ship.

Why is a diesel Prado taxed so much more than a petrol Harrier?

Diesel engines above 2500cc and petrol engines above 3000cc pay 35% excise instead of 25%. The same depreciation then applies to a higher tax rate.

Would buying a car already in Kenya avoid all this?

For a car already registered in Kenya, the import taxes were paid when it came in. MNM sells Kenyan-registered cars and fresh imports, which you can browse here. Its own mechanic inspects each car, and you can bring your own mechanic before paying.