Selling a duty-free bought car in Nairobi

How much duty would the Kenyan buyer have to pay on a Landrover 110 TDi bought tax-free in Kenya in 2005?

check tax calculator on KRA website

Thanks CarolHS2503,
The KRA calculator only goes back to 2011 or so while the car dates back to 2005.
But even if I use the most recent date the calculator does not provide an answer, possibly because the model Defender 110  TDi 300 did not longer exist at the more recent dates? Isn't there a fixed percantage of the car valuation if it is done officially by for example the AA?

Kenya Revenue Authority value vehicles for the payment of duty.  The calculator only goes back to 2011, because you cannot import a vehicle older than 8 years.

It would be difficult to estimate the duty, without an assessment.  There are a range of charges and taxes, including for example; duty, VAT, railway levy.  It all amounts to approximately 75% of the assessed value of the vehicle.  What can happen is that the buyer will try to delay registering the vehicle, as this is the point at which the duty will be assessed/become payable.  Amendments to the law have made this more difficult though.

As its the buyers responsibility to pay the duty, any buyer should be made aware that the vehicle is being sold duty unpaid - they then know what they are getting into.

Am I supposed to pay any duty while buying another duty free car in Kenya if I have an exemption certificate?

Hello juliusongalo,

Welcome to 1f601.svg

Could you please start a new thread on the Nairobi forum to ask your questions this thread is quite old and you may not get any feedback here.

All the best,

Cheryl team

Is it correct that the buyer of a car that came into the country duty free is responsible for paying the duty? 

If the duty wasn't paid by the importer, then the buyer would have to pay. 

I brought car in duty free as investor. I contacted kra and they gave me a figure for duty that needs paid if selling which seems a lot for a car 23years old and been in country since 2004. I thought it was my responsibility to pay before selling.  If it not my responsibility then at very least to know amount of duty buyer will have to pay to be able to negotiate price honestly I think.??

The duty to be paid would be the figure set by KRA irrespective of who pays it.  Vehicles which were imported used to be advertised as duty unpaid, so the buyer would be aware of this.

Duty is calculated on a cost + insurance + freight basis and is always calculated by KRA based on the price index that they use.  It usually makes up approx 75% of the vehicles value, with VAT and other charges/levies.

Thankyou for the info

I believe that KRA use Glass's Guide, or similar, to value used vehicles.  It is certainly independent of any receipts that may be presented.  The reason being that fake sales receipts were widely used by importers in the past, with the intention of attempts at lowering the duty payable.

In this case they are quoting I think too high a figure for duty of 23 year old car. I sent them copy of their original customs valuation. As soon as I questioned their valuation they have not replied  It has been valued this past few years for insurance purposes with I think a reasonable valuation.  I can understand yes there would have been fake valuations but I was bringing in exempt so no need to try and lower valuation. I may be best to keep as 2nd car if they wont budge on duty.

Im curious about how you managed to import a 23 yr old car, considering the normal max age is 8 years for an import.

@Longonot62 i didnt import a 23 year old car. It is 23 years old now. It was imported in 2004 when 4 years old.

I wouldn't be surprise if KRA are backdating the duty to that date, as duty is supposed to be paid within 6 months of import...............technically.  We have imported two cars and the more recent import wasn't permitted to leave the port before duty was paid.