Connect with us

Hi, what are you looking for?

Times Tower, the Kenya Revenue Authority (KRA) Headquarters. /CFM-FILE.

business

KRA defends new car sell protocol citing stakeholder involvement

The 2025 CRSP list features more than 5,200 unique vehicle models—up from 3,000 in 2019—and includes detailed specifications such as trim levels and performance features, offering a more refined basis for taxation.

NAIROBI, Kenya, June 6 — The Kenya Revenue Authority (KRA) has defended the rollout of its newly revised Current Retail Selling Price (CRSP) list for used motor vehicles, citing a rigorous and consultative validation process that included extensive stakeholder engagement and updated valuation data.

In a statement on Friday, KRA emphasized that the updated CRSP—its first major revision since 2019—was developed through a transparent process involving key industry players such as the Kenya Auto Bazaar Association, the Car Importers Association of Kenya, and other stakeholders.

“The new CRSP list is a product of a transparent, consultative process. We’ve integrated stakeholder feedback and updated valuation data sources to ensure a more accurate and inclusive system,” the Authority said.

The taxman explained that the revised CRSP reflects significant shifts in Kenya’s automotive and economic landscape, including the depreciation of the Kenyan shilling, increased duty rates, and the entry of new vehicle models into the market.

The CRSP is a key determinant in assessing taxes on imported used vehicles. Its revision follows years of lobbying and was delayed in 2020 after court challenges blocked an earlier attempt.

KRA noted that the new list is anchored in international and regional legal frameworks, including the World Trade Organization (WTO) Agreement on Customs Valuation, domesticated under the East African Community Customs Management Act (EACCMA), 2004.

Timely shift

The Authority attributed the timing of the update to several macroeconomic changes.

Since 2019, the Kenyan shilling has weakened from Sh100 to about Sh130 per US dollar, while import and excise duties have risen from 25 per cent to 35 per cent.

The 2025 CRSP list features more than 5,200 unique vehicle models—up from 3,000 in 2019—and includes detailed specifications such as trim levels and performance features, offering a more refined basis for taxation.

KRA acknowledged that some newer models are currently missing from the list due to data limitations in sources like the Japanese Yearbooks and Goo-net.

However, KRA assured stakeholders that efforts are underway to expand the list further once additional data sources are approved by its technical team.

Comments

More on Capital News

NATIONAL NEWS

KRA will conduct a fire drill at Times Tower on March 18, 2026. The public is advised not to panic as emergency response teams...

Kenya

KRA announces a fire drill at Times Tower on March 18, warning of alarms and activity while urging the public not to panic.

NATIONAL NEWS

KRA Commissioner General Humphrey Wattanga said the move modernizes service delivery and positions Kenya as a regional leader in border integrity.

NATIONAL NEWS

KHRC has welcomed a tribunal ruling upholding a Sh1.76bn KRA tax assessment against Del Monte, calling it a win against corporate tax avoidance.

AGRICULTURE

Sugarcane farmers risk unfair taxation under KRA’s eTIMS system, SUCAM warns, saying the system could tax farmers on gross proceeds instead of real income.

NATIONAL NEWS

EACC has been named the Most Facilitative Agency in Tax Enforcement at KRA’s 30th anniversary, recognised for averting financial losses and recovering assets.

business

The Kenya Revenue Authority missed its Q1 2025/26 revenue target by Sh90 billion, forcing the National Treasury to warn of widening fiscal pressures, declining...

NATIONAL NEWS

KRA warned the public against engaging with or responding to any messages, links, or requests shared from the compromised account.