Car Import Duty Rates in Kenya for 2026: Duty, Excise, VAT, IDF and RDL

Updated 25 October 2026

Quick answer: a used car imported into Kenya in 2026 pays five charges, all worked out from KRA’s valuation of the car: import duty of 35%, excise duty of 20%, 25% or 35% depending on engine size and fuel, VAT of 16%, an Import Declaration Fee (IDF) of 2.5% and a Railway Development Levy (RDL) of 2%. Fully electric cars pay 25% duty and 10% excise. Get the exact shilling figures for your car with our car import duty calculator.

The Rates in One Table

These are the rates in KRA’s own TEMPLATE 2025 worksheet, published with the July 2025 CRSP list. Older articles online still quote 25% duty or a 3.5% IDF; both are out of date.

Excise Duty by Engine Size

Hybrids are taxed like petrol cars of the same engine size. The Finance Act 2026 added a 50% excise rate for antique or classic cars at least 30 years old and worth at least KSh 10 million, which does not affect normal used imports because such cars cannot meet the 8-year age rule. KRA’s summary of the Finance Act 2026 shows no other change to car taxes this year.

How the Customs Value Is Found

All five charges hang off the customs value, and KRA does not take that from your invoice. It starts with the Current Retail Selling Price (CRSP) for the model and grade, then removes the taxes and margin built into a retail price:

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

Depreciation for a direct import is 0% up to one year, then 20%, 30%, 40%, 50%, 55%, 60% and 65% for each further year up to eight. See our guide to the CRSP for how the list works.

A Worked Example

Take a 2020 Nissan X-Trail 20Xi (DBA-NT32, 1,997cc petrol) assessed in 2026. Its CRSP is KSh 5,082,546. At six years old it gets 55% depreciation, and as a petrol car between 1,501cc and 3,000cc it pays 25% excise.

We checked this against KRA’s own worksheet and it matches to the shilling.

How Big a Share of the Price Is Tax?

Because excise is charged on duty, and VAT is charged on both, the effective rate is much higher than any single number suggests. On the customs value, a car in the 20% excise band pays about 92% in combined taxes; in the 25% band about 100%; and in the 35% band about 116%. Put simply, for most mid-size cars KRA’s taxes roughly equal the customs value of the car.

Charges That Are Not Taxes

The IDF and RDL are levies collected by KRA alongside duty. Other costs on the way are not set by KRA: freight from Japan, Kenya Ports Authority handling and storage under its 2025 tariff, the clearing agent’s fee and NTSA registration. Our guide to clearing charges explains them.

What Changed in the Last Few Years

• Import duty rose from 25% to 35% when the East African Community added a 35% band to its Common External Tariff in 2022 and placed vehicles in it.
• The IDF fell from 3.5% to 2.5% under the Finance Act 2023.
• The RDL rose from 1.5% to 2% under the Tax Laws (Amendment) Act 2024, effective 27 December 2024.
• A new CRSP list took effect on 1 July 2025, changing the starting value for thousands of models.

If a seller, forum or older article gives you a lower figure, check which of these changes it misses before you rely on it.

Who Pays Less?

• Electric cars pay 25% duty and 10% excise.
• Returning residents and diplomats may qualify for exemptions under specific conditions set by KRA.
• Persons with disabilities can apply for an excise and duty exemption on a vehicle adapted for their use, subject to approval.

Each exemption has its own application process. Confirm eligibility with KRA before you buy.

When the Taxes Are Paid

All five charges are paid together once your clearing agent lodges the import entry and KRA issues the assessment. Payment goes to KRA through its approved banks or payment channels, not to the agent. The car is not released until the payment reflects, and every day it waits beyond the port’s five free days adds storage charges, so have the money ready before the ship docks.

Frequently Asked Questions

Is import duty 25% or 35%?

35% for cars. The 25% figure is out of date, and KRA’s 2025 template uses 35%. Fully electric cars are the exception at 25%.

Is the IDF 2.5% or 3.5%?

2.5%. The Finance Act 2023 reduced it, and KRA’s template applies 2.5%.

Read next: how to import a car from Japan step by step.