KRA Makes Clarification On Implementation Of New Used Car Prices
The Kenya Revenue Authority (KRA) has published a clarification regarding a recent change in the way taxes are computed on imported second-hand automobiles.
This clarification follows the authority’s announcement on May 30, 2025, addressing the new Current Retail Selling Price (CRSP) for imported second-hand vehicles commencing July 1, 2025.
The CRSP is the KRA’s official price for calculating taxes on imported old autos.
It establishes official retail pricing for vehicles, which are then used to calculate import taxes.
In a follow-up statement issued on June 6, 2025, the authority addressed the legal basis of customs valuation, the purpose for reviewing the present CRSP, and the modification process.
CAR PRICES: KRA says 2025 review of used-vehicle prices seeks to reflect latest exchange rates, import and excise duties, and capture new models; list of unique models hits 5,200 from 3,000 in 2019, missing models linked to data limitations. https://t.co/DzfM0CCxyO pic.twitter.com/meTUdRV6Y0
— Daily Nation (@NationAfrica) June 6, 2025
“In response to public inquiries and recent media reports regarding the implementation of the revised CRSP, KRA wishes to clarify the following: legal basis of custom validation, What is CRSP, and Why is it Used?, Why the Review of the Current CRSP? And the Process of Reviewing the CRSP,” the statement read.
The authority noted that the import tariff rate, a significant determinant in the CRSP, has risen from 25% in 2019 to 35% in 2025.
It also noted that excise duty has increased, with some autos being taxed at 35%, up from a maximum of 30% in 2019.
Furthermore, several new car models have hit the market that were not included in the previous list.
According to the statement, before amending the CRSP, KRA had multiple discussions with stakeholders in the motor vehicle sector, and the public was also invited to provide feedback.
The authority stated that the updated CRSP list now includes over 5200 unique models as compared to the 2019 list, which had about 3000 models.
KRA added that some models could not be included because they were not found in the data sources used, but the list will continue to be updated and shared on its website.
It stated that the pricing mechanism is based on the World Trade Organization’s (WTO) Agreement on Customs Valuation.
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The Agreement is also incorporated into Kenyan legislation through the East African Community Customs Management Act of 2004, which establishes how the customs value of imported products should be computed.
According to the revised CRSP schedule, the Vitz Hybrid F will cost Ksh3,440,622, the Prado TX-L-E4 will cost Ksh9,095,659, and the Mazda CX-5 20S will cost Ksh6,839,016.
To get a Toyota Premio 2.0G, you must pay Ksh4,344,220, while a Probox GL costs Ksh2,573,759.
“The Kenya Revenue Authority (KRA) wishes to inform the public that, effective 1st July, 2025, a new Current Retail Selling Price (CRSP) schedule will be applied in the computation of customs value for used motor vehicles imported into the country,” the statement read in part on May 30.
KRA Makes Clarification On Implementation Of New Used Car Prices
