The Kenya Revenue Authority (KRA) proposed new base rates for charging duties on motor vehicle imports, in abid to recover lost income, a move that will see the rise in prices of used Luxury cars.- By Gerald Gekara.
High-end models such as Toyota Land Cruiser VX and Land Rover Discovery will be sold for Sh600,000 more than what they cost, according to the draft Current Retail Selling Price (CRSP) of April 2020, compared to the existing catalog.
However, car importers had moved to court to claim that KRA was relying on inflated showroom prices from new vehicle dealers as the basis for calculating import duties and other costs.
The proposed CRSP however indicated that used cars below the 1 Million shilling price tag will remain unchanged.
However, Several models of the Honda Fit, a small hatchback frequently bought for its Taxi business prowess, are priced from Sh3.2 million to Sh3.5 million.
“Kenya Revenue Authority informs the public that in accordance with the court ruling on petition 190 of 2018 and Article 47 of the Constitution, the Commissioner is required to conduct public participation on the current draft Retail-Selling Price (CRSP) April 2020 before the implementation of a new CRSP database,” KRA said.