KRA will allow used car importers to defer taxes

Imported second-hand cars at the port of Mombasa on April 8, 2022. PHOTO | WACHIRA MWANGI | NMG

Second-hand car dealers and individuals will soon be able to ship in vehicles and defer paying taxes for up to one year, boosting their cash flow positions in reforms that are expected to lower automobile prices.

The William Ruto administration has directed the Kenya Revenue Authority (KRA) to allow the use of bonded warehouses for imported used vehicles, putting them on the same pedestal as new vehicle imports.

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