The Kenya Revenue Authority (KRA) will implement a revised Current Retail Selling Price (CRSP) schedule for all imported used motor vehicles. This development marks a significant shift in how taxes on used cars are calculated at the country’s ports of entry.
CRSP is the benchmark the KRA uses to determine the customs value of imported used vehicles, which then informs the applicable import taxes. In a public notice, KRA announced that the updated CRSP list has been published on its website and will come into effect at the beginning of the new financial year.
The revised pricing framework follows extensive consultations with key stakeholders, including importers, clearing agents, and industry representatives. According to KRA, the new pricing model is designed to improve fairness and accuracy in vehicle tax assessments.
Unlike the previous system that relied heavily on standardized CRSP figures, the new approach will consider the actual purchase price of the vehicle as declared in supporting documentation such as invoices and receipts. Additionally, the car’s age will now play a more pronounced role in valuation, meaning older cars will attract lower taxes compared to newer models — a move that many in the industry believe promotes equity and transparency.
“The Commissioner for Customs and Border Control urges all stakeholders to review the changes and ensure compliance ahead of the implementation,” the notice read. KRA further encouraged industry players to familiarize themselves with the new framework to avoid delays or complications during the importation process.
For context, under the revised CRSP, importing a Toyota Vitz Hybrid F will now cost KSh3,440,622, while a Mazda CX-5 20S will cost KSh6,839,016. These figures reflect the updated base prices that will influence customs duties, excise, VAT, and Import Declaration Fees (IDF).
In a related announcement, KRA reminded taxpayers that the window for applying for tax amnesty is still open, providing relief for individuals and businesses with outstanding tax obligations.
As the new CRSP model rolls out, importers are advised to prepare adequately and ensure all documentation aligns with KRA’s updated requirements.