Value Added Tax Act Cap 476
Value Added Tax Act Cap 476
Value Added Tax Act Cap 476
CHAPTER 476
CHAPTER 476
ARRANGEMENT OF SECTIONS
PART I – PRELIMINARY
Section
1. Short title.
2. Interpretation.
PART II – ADMINISTRATION
3. Functions and powers of the Commissioner and other officers, etc.
4. Authorized officers to have powers of police officers.
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Section
23. Remission of tax.
24. Refund of tax.
24A. Remission or refund of tax on bad debts.
25. Erroneous refund, remission or rebate of tax.
25A. Fraud in relation to claims for tax refund.
26. Arrangements for bilateral relief from tax.
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Section
47. Taxable goods, vessels, etc., to be liable to forfeiture.
48. Power to seize packaging.
49. Provisions relating to goods liable to forfeiture.
50. Procedure on seizure.
51. Effect of conviction, etc., on things liable to forfeiture.
52. Procedure after notice of claim.
53. Provisions relating to condemnation.
54. Restoration of seizures.
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CHAPTER 476
PART I – PRELIMINARY
1. Short title
This Act may be cited as the Value Added Tax Act.
2. Interpretation
(1) In this Act, unless the context otherwise requires—
“aircraft” includes every description of conveyance for the transport by air
of human beings or goods;
“appeal” means an appeal under section 33;
“assessment” means an assessment made under paragraph 9(1) of the
Seventh Schedule;
“auditor” means a person who holds a practising certificate or a written
authority to practice issued under the provisions of the Accountants Act (Cap.
531);
“authorized dealer” deleted by Act No. 8 of 1996, s. 11;
“authorized officer”, in relation to any provision of this Act, means any
officer appointed under section 3 who has been authorized by the
Commissioner to perform any functions under or in respect of that provision;
“Authority” means the Kenya Revenue Authority established by the
Kenya Revenue Authority Act;
“building” includes garages, dwellings, apartment houses, hospitals and
institutional buildings, colleges, schools, churches, office buildings, factories,
warehouses, theatres, cinemas, silos and similar roofed structures affording
protection and shelter;
“business” includes any trade, commerce or manufacture, or any concern
in the nature of trade, commerce or manufacture;
“certificate of registration” means a certificate issued under the Sixth
Schedule;
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“Commissioner” means—
(a) the Commissioner-General appointed under section 11(1) of the
Kenya Revenue Authority Act (Cap. 469); or
(b) with respect to the powers or functions that have been delegated
under section 11(4) of the Kenya Revenue Authority Act (Cap. 469)
to another Commissioner, that other Commissioner;
“company” means a company as defined in the Companies Act (Cap.
486) and body corporate formed under any other written law, and includes
any association, whether incorporated or not, formed outside Kenya which the
Minister may, by order, declare to be a company for the purposes of this Act;
“concessional loan” means a loan with at least twenty-five per cent grant
element;
“construction” means the process by which a building, or part thereof, or
an addition thereto, is erected, but does not include the manufacture of—
(a) materials for the construction of buildings; or
(b) component parts used in, wrought into, or attached to, buildings;
“contractor” means a person who undertakes the construction,
demolition, repair or restoration of buildings, industrial plant, roads, bridges,
dams, quays, wharves and other similar civil works and parts thereof including
mechanical and electrical machinery and equipment;
“designated dealer” deleted by Act No. 5 of 1998, s. 17;
“designated person” deleted by Act No. 6 of 2005, s. 4(a);
“designated supplies” deleted by Act No. 6 of 2005, s. 4(a);
“duty of customs” means excise duty, import duty, export duty,
suspended duty, dumping duty, levy, cess, imposition, tax or surtax charged
under and law for the time being in force relating to customs and excise;
“entertainment” means an exhibition, performance or amusement to
which person are admitted for payment, but does not include the following—
(a) stage plays and performances which are conducted by education
institutions, approved by the Minister for the time being responsible
for education as part of learning;
(b) sports, games or cultural performance conducted under the
auspices of the Ministry of Culture and Social Services;
(c) entertainment of a charitable, educational, medical, scientific or
cultural nature as may be approved in writing by the Commissioner
prior to the date of the entertainment for the benefit of the public; or
(d) entertainment organized by a non-profit making charitable,
educational, medical, scientific or cultural society registered under
the Societies Act (Cap. 108) where the entertainment is in
furtherance of the objects of the society as may be approved in
writing by the Commissioner prior to the date of the entertainment;
“exempt supplies” means supplies of goods and services specified in the
Second and Third Schedules respectively, which are not subject to tax;
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(c) any person who has goods as defined in paragraph (a) or (b)
manufactured to his specification or design, for himself, or on his
behalf by others; or
(d) any person who generates electricity;
“official aid funded project” means a project funded by means of a grant
or concessional loan in accordance with an agreement between the
Government and any foreign government, agency, institution, foundation,
organisation or any other aid agency;
“owner”, in respect of any goods (whether taxable or not), aircraft, vessel,
vehicle, plant or other thing, includes any person (other than an officer acting
in his official capacity being or holding himself out to be the owner,
manufacturer, agent or person in possession of, beneficially interested in, or
having control of, or power of disposition over, the goods, aircraft, vessel,
vehicle, plant, or other thing;
“registered dealer” deleted by Act No. 5 of 1998, s. 17;
“registered manufacturer” means any manufacturer registered under the
Sixth Schedule;
“registered person” means any person registered under the Sixth
Schedule;
“regulations” means regulations made under section 58;
“residential buildings” means the part of any premises used to
accommodate persons for residential purposes;
“restaurant” means any establishment supplying restaurant services, and
includes cafeterias, fast-food outlets, snack bars, foodstalls at exhibitions or
sports arenas and similar establishments, but does not include—
(a) establishments operated by a charitable or religious organisation
registered under the Societies Act for charitable or religious
purposes; or
(b) establishments operated by an educational or training institution
approved by the Minister for the use of the staff and students of that
institution; or
(c) establishments operated by a medical institution approved by the
Minister for the time being responsible for health for the use of the
staff and students of that institution; or
(d) canteens and cafeterias operated by an employer for the benefit of
his low-income employees which the Commissioner may approve
subject to such conditions as he may prescribe;
“restaurant services” means the supply of food or beverages prepared
for immediate consumption, whether or not such consumption is on the
premises of the restaurant, and includes outside catering;
“sale”, in relation to any goods, means—
(a) any transaction whereby the goods are delivered by one person to
another person pursuant to a contract of sale or other disposition
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whereby the ownership in the goods has passed or will pass to the
person to whom the goods are delivered or to any other person for
whom such person is acting as an agent; or
(b) any transaction whereby one person passes the possession of any
goods to any other person under an agreement, whether oral or in
writing, which provides for the purchase of goods by the person to
whom the possession thereof is delivered, or which provides that the
property in the goods will or may pass to that person on the
happening of any event; or
(c) any transaction whereby the owner of the goods delivers to any
person the possession of the goods on hire or any other
arrangement whatsoever, which permits the person to whom the
possession is delivered to use the goods for his own purposes or for
the purposes of any other person, whether for any specified period
or indefinitely, and whether or not that person is required to give the
owner any consideration for the use of the goods by him or by any
other person; or
(d) any use of the goods for his own purposes outside of the business
by the registered person or any other person liable to pay tax;
“service exported out of Kenya” means a service provided for use or
consumption outside Kenya, whether the service is performed in or outside
Kenya, or both inside and outside Kenya;
“service imported into Kenya” means a service provided by a person
normally resident outside Kenya who is not required to register for tax in
Kenya, or a service provided by an export processing zone enterprise for use
or for consumption by a person in Kenya whether or not the service is
provided from outside or in Kenya or both inside and outside Kenya;
“services” means—
(a) any supply by way of business that is not a supply of goods or
money; or
(b) anything which is not a supply of goods but is done for a
consideration (including, if so done, the granting, assignment or
surrender of any right),
but does not include a service provided by an employee to his employer for a
wage or salary;
“shipstores” means goods for use in aircraft and vessels engaged in
international transport for consumption by passengers and crew and goods for
sale on board;
“supply” includes—
(a) the sale or provision or delivery of taxable goods to another person;
(b) the sale or provision of taxable services to another person;
(c) the appropriation by a registered person of taxable goods or
services for his own use outside of the business;
(d) the making of a gift of any taxable goods or taxable services;
(e) the letting of taxable goods on hire, leasing or other transfers;
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PART II – ADMINISTRATION
3. Functions and powers of the Commissioner and other officers, etc.
(1) Deleted by Act No. 4 of 2004, s. 30.
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(2) The Commissioner shall be responsible for the control and collection of,
and accounting for tax, and shall, subject to the direction and control of the
Minister, have the superintendence of all matters relating thereto.
(3) The Commissioner may—
(a) authorize any other officer appointed under this section to perform
any of the functions of the Commissioner under this Act or the
regulations, except this subsection; or
(b) subject to the approval of the Board of Directors of the Authority, by
notice in the Gazette, appoint such other person as he may
determine to perform any of the Commissioner’s functions under this
Act requiring expert knowledge or skill,
subject to such limitations as the Commissioner may think fit.
(3A) Subject to this Act, every appointment under paragraph (b) of subsection
(3) shall be made upon such terms and conditions of service as may be
approved by the Board of Directors of the Authority.
(4) Every officer appointed under this section shall enforce, and ensure due
compliance with, the provisions of this Act and the regulations, and shall make all
due inquiries in relation thereto.
(5) Every authorized officer or other person appointed under subsection (3)
shall, on demand, produce such documents establishing his identity as may be
approved by the Commissioner.
(6) Every authorized officer or other person appointed under subsection (3)
shall, by a date to be determined by the Commissioner, make and subscribe
before a magistrate or commissioner for oaths declaration in the form set out in
the Ninth Schedule.
[Act No. 4 of 1999, s. 19, Act No. 4 of 2004, s. 30.]
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8. Zero-rating
(1) Where a taxable person supplies goods or services and the supply is
zero-rated, then no tax shall be charged on the supply, but it shall, in all other
respects, be treated as a taxable supply and accordingly the rate at which tax is
treated as charged on the supply shall be nil.
(2) A supply or importation of goods is zero-rated by virtue of this section if
the goods are of the description for the time being specified in the Fifth Schedule
or Part A and Part B of the Eighth Schedule or the supply is of a description so
specified.
(3) A supply or importation of goods or services is zero-rated by virtue of this
section if the goods or services are of the description for the time being specified
in Part A of the Fifth Schedule or imported or purchased by persons specified in
Part C of the Eighth Schedule.
[Act No. 10 of 1990, s. 18, Act No. 9 of 1992, s. 19, Act No. 8 of 1997, s. 17, Act No. 9 of 2000, s. 24,
Act No. 6 of 2004, s. 19.]
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he may, within three months, or such longer period as the Commissioner may, in
any particular case allow, claim relief from the tax shown to have been paid on
goods in stock or on the construction of such buildings or civil works or the
purchase of such assets:
Provided that that this subsection shall apply where such buildings or civil
works are constructed, or such goods or assets are purchased, within the period
of twenty-four months immediately preceding registration or the exempt supplies
becoming taxable.
(2) The Commissioner may, subject to such conditions as may be prescribed,
authorize the registered person to make an appropriate deduction from the tax
payable on his next return on being satisfied that the claim for relief is justified.
(3) The claim for relief from tax under subsection (1) shall be made in the
prescribed form.
[Act No. 4 of 1999, s. 21, s. 22, Act No. 9 of 2000, s. 26, Act No. 10 of 2006, s. 6,
Act No. 8 of 2009, s. 9, Act No. 10 of 2010, s. 12.]
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(b) all returns, or amended returns, which should have been submitted
in respect of the tax are submitted,
on or before 31st December, 2004:
Provided that this section shall not apply in respect of any tax if the person
who should have paid tax—
(i) has been assessed in respect of the tax or any matter relating to the
tax; or
(ii) is under audit or investigation in respect of the tax or any matter
relating to the tax.
[Act No. 4 of 2004, s. 35.]
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(2) Notwithstanding the provisions of any other written law, any taxable goods
which are imported by land shall be produced by the importer to a proper officer
of customs at the customs station at or nearest to the place of entry, and any
importer who fails so to produce any such goods shall be guilty of an offence and
the goods in respect of which the offence was committed shall be liable to
forfeiture.
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(3) A distress levied under this section shall be kept for ten days, either at the
premises at which distress was levied or at such other place as the authorized
officer may consider appropriate, at the cost of the person from whom the tax is
recoverable.
(4) If the person from whom tax is recoverable by distress does not pay the
tax together with the costs of the distress within the period of ten days referred to
in subsection (3), the goods and chattels distrained upon shall be sold by public
auction for payment of the tax and costs and the proceeds of the sale shall be
applied first towards the cost of taking, keeping and selling the goods and
chattels distrained upon and then towards the tax, and any remaining proceeds
shall be paid to the person from whom the goods were distrained.
[Act No. 8 of 1996, s. 15.]
19. Power to collect tax from person owing money to the taxable person
(1) Where any sum by way of tax is due and payable by a taxable person, the
Commissioner may, by notice in writing, require—
(a) any person from whom any money is due or accruing or may
become due to a taxable person; or
(b) any person who holds or may subsequently hold money for or on
account of the taxable person; or
(c) any person who holds or may subsequently hold money on account
of some other person for payment to the taxable person; or
(d) any person having authority from some other person to pay money
to the taxable person,
to pay to the Commissioner that money or so much thereof as is sufficient to pay
the tax so due and payable.
(2) Where a person required under subsection (1) to pay money to the
Commissioner claims to be or to have become unable to do so by reason of lack
of moneys held by, or due from him, he shall within seven working days notify the
Commissioner accordingly in writing the reasons for his inability to do so.
(3) Unless the Commissioner is satisfied with the reasons given by such
person under subsection (2)—
(a) sufficient moneys for the payment of the tax specified in the notice
shall be presumed to be held by such person for, or due from him to,
the taxable person in respect of whom the notice is given under
subsection (1); and
(b) in any proceedings for the collection or recovery of that tax such
person shall be estopped from asserting the lack of those moneys.
(4) The Commissioner may, by notice in writing, at any time require any
person to furnish him within a reasonable time, not being less than thirty days
from the date of service of the notice, with a return showing any moneys which
may be held by that person for, or due by him to, the taxable person from whom
tax is due.
(5) All payments made in accordance with a notice under this section shall be
deemed to be made on behalf of the taxable person and of all other persons
concerned, and shall constitute a good and sufficient discharge of the liability of
such person to the taxable person, or any other person.
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mortgage over, or charge on, as the case may be, the land and buildings and
thereupon that registration shall, subject to any prior mortgage or charge, operate
while it subsists in all respects as a legal mortgage over or charge on the land or
buildings to secure the amount of the tax.
(3) The Commissioner shall, upon the payment of the whole of the amount of
tax secured under subsection (2) by notice in writing to the Registrar of Lands,
cancel the direction made under that subsection and the Registrar shall, without
fee, record the cancellation thereupon and the direction shall cease to subsist.
21. Tax payable to Commissioner
(1) Any tax payable under this Act shall be paid to the Commissioner.
(2) Any person who fails to pay tax due from him on or before the day upon
which it is payable shall be guilty of an offence.
(3) The amount of any tax payable under this Act shall not be abated by
reason only of the conviction of the person liable for the payment thereof for an
offence under subsection (2).
22. Tax to be recovered as civil debt
Without prejudice to any other remedy, any tax due and payable under this
Act may be recovered by the Commissioner as civil debt due to the Government,
and where the amount of the tax does not exceed one hundred thousand
shillings, the debt shall be recoverable summarily.
[Act No. 13 of 1995, s. 55.]
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(ii) the goods are intended for use in officially recognized refugee
camps in Kenya; and
(iii) the goods are household utensils, food stuffs, materials for
provision of shelter or equipment and materials for health,
sanitary or educational purposes; and
(iv) in the case of a natural disaster or calamity, the importation or
purchase locally is made within six months or such further
period, not exceeding twelve months, as the Commissioner
may permit in each case:
Provided that the goods imported or purchased under this
paragraph shall be of such quantities and subject to such limitations
as the Commissioner may impose.
(c) goods, including motor vehicles and aircraft, and taxable services
imported or purchased by any company which has been granted an
oil exploration or oil prospecting licence in accordance with a
production sharing contract with the Government of Kenya and in
accordance with the provisions of the Petroleum (Exploration and
Production) Act (Cap. 308); and
(d) capital equipment and machinery imported or purchased solely for
use in the manufacture of goods in a licensed customs bonded
factory for export only; and
(e) official aid-funded projects; and
(f) deleted by Act No. 9 of 2007, s. 11;
(g) deleted by Act No. 4 of 2004, s. 38;
(h) goods, including motor vehicles imported or purchased by any
company which has been granted a geothermal resources licence in
accordance with a production sharing contract with the Government
of Kenya and in accordance with the provisions of the Geothermal
Resources Act, Cap. 12 of 1982; and
(i) goods for official use of Kenya Armed Forces in accordance with the
East African Community Customs Management Act, 2004; and
(j) goods imported under bond for manufacture of exports, indirect
exports, goods free of import duty, goods for use in official aid-
funded projects and goods for use in manufacture of goods which
are in turn supplied to another manufacturer of goods under the
Essential Goods Support Programme;
(k) taxable goods and services supplied by a registered person for use
in the construction or expansion of private universities (excluding
student hostels and staff housing) with the approval of the Minister,
on the recommendation of the Minister responsible for Education;
(l) taxable goods and services supplied by a registered person to a
specific project approved by the Minister, on the recommendation of
the Minister responsible for Housing, for the construction of not less
than twenty housing units for low income earners, subject to such
conditions as may be prescribed.
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(4) Pending the publication of an order under subsection (1), the Minister may
direct the Commissioner to remit tax as though the order had actually been
published:
Provided that the order shall be published within ninety days from the date
the Minister issues the direction under this subsection; and the fact that the order
is not published shall not affect the validity of anything done pursuant thereto
during the period of ninety days.
(5) Deleted by Act No. 9 of 2000, s. 29.
[Act No. 9 of 1992, s. 24, Act No. 9 of 1993, s. 25, Act No. 13 of 1995, s. 56,
Act No. 8 of 1996, s. 16, Act No. 5 of 1998, s. 19, Act No. 4 of 1999, s. 22,
Act No. 9 of 2000, s. 29, Act No. 6 of 2001, s. 32, Act No. 7 of 2002, s. 27,
Act No. 4 of 2003, s. 38, Act No. 15 of 2003, s. 22, Act No. 4 of 2004, s. 38,
Act No. 8 of 2004, Act No. 6 of 2005, s. 10, Act No. 9 of 2007, s. 11, Act No. 8 of 2008, s. 16,
Act No. 8 of 2009, s. 11.]
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(2) Where a demand has been made for any amount of tax under subsection
(1), that amount shall be deemed to be due from the person liable to pay the tax
on the date upon which the demand is served upon him and if payment is not
made within thirty days of the date of service an interest of two per cent per
month or part thereof of such unpaid amount shall thereupon forthwith be due
and payable:
Provided that the interest chargeable under this subsection shall not
exceed one hundred per cent of the tax originally due.
(3) The Commissioner may, upon application by a person from whom any
interest is due under subsection (2), grant remission of the whole or part of the
interest due, if satisfied that such remission is justified, and shall make quarterly
reports to the Minister of all the remissions granted under this subsection:
Provided that where the amount of the interest exceeds one million five
hundred thousand shillings, remission shall be subject to the prior written
approval of the Minister.
(4) Upon receipt of an application under subsection (3), the Commissioner
shall, where the applicant has paid the principal tax in full, suspend the charging
of the interest pending the determination of the application.
(5) Where remission under subsection (3) is not granted, or is granted in
respect of part only of the interest, the balance of the interest shall become due
and payable within ninety days of the determination of the application.
(6) Where the balance of the interest payable under subsection (5) remains
unpaid after the expiry of the specified period, a surcharge at the rate of two per
cent per month or part thereof shall forthwith be due and payable.
[Act No. 8 of 1997, s. 22, Act No. 9 of 2000, s. 30, Act No. 6 of 2001, s. 33,
Act No. 6 of 2004, Act No. 6 of 2005, s. 11, s. 11, Act No. 8 of 2008, s. 17.]
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(c) any person to attend, at such time and place as may be specified,
for the purpose of being examined respecting any matter or
transaction appearing to be relevant to the tax liability of any person:
Provided that where the person required to produce any records,
books of account, statements of assets and liabilities or other
documents for examination under this section is a bank or financial
institution—
(i) the records, books of account, statements of assets and
liabilities or other documents shall not, in the course of the
examination, be removed from the premises of the bank or
financial institution or other premises at which they are
produced;
(ii) the Commissioner or an authorized officer carrying out the
examination may make copies of such records, books of
account, statements of assets and liabilities or other
documents for purposes of any report relating to the
examination; and
(iii) all information obtained in the course of the examination shall
be treated as confidential and used solely for the purpose of
the Act.
(2) Any person who, without reasonable excuse, fails to comply with any
requirement made under subsection (1) shall be guilty of an offence and liable to
a fine not exceeding fifteen thousand shillings or to imprisonment for a term not
exceeding six months or to both.
[Act No. 13 of 1995, s. 57, Act No. 4 of 1999, s. 23, Act No. 7 of 2002, s. 29.]
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(e) at the risk and expense of the occupier of the premises, open and
examine any package found therein;
(f) take and retain without payment such reasonable samples of any
goods as he may think necessary for the exercise of his functions
under this Act.
(2) Where an authorized officer enters any premises in exercise of the
powers conferred by subsection (1), he may take with him such persons as he
considers necessary for the carrying out of his functions under this Act.
(3) Any person who—
(a) resists, hinders or obstructs, or attempts to resist, hinder or obstruct,
an authorized officer acting under this section; or
(b) fails to comply fully with any requirement made under this section; or
(c) makes any statement in response to any such requirement, knowing
it to be false or incomplete in any material particular, or not having
reason to believe that it is true or complete in all material respects;
or
(d) procures or attempts to procure, by any means, any other person to
act as aforesaid,
shall be guilty of an offence.
32A. Objections
(1) A person who disputes an assessment made upon him under paragraph 9
of the Seventh Schedule may, by notice in writing to the Commissioner, object to
the assessment.
(2) A notice given under subsection (1) shall not be a valid notice of objection
unless it states precisely the grounds of objection to the assessment and is
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received by the Commissioner within 30 days after the date of service of the
notice of assessment; but if the Commissioner is satisfied that owing to absence
from Kenya, sickness or other reasonable cause, the person objecting to the
assessment was prevented from giving the notice within that period and there
has been no unreasonable delay on his part, the Commissioner may, upon
application by the person objecting, admit the notice after the expiry of that
period and the admitted notice shall be a valid notice of objection.
(3) Where a notice pf objection has been received, the Commissioner may—
(a) amend the assessment in accordance with the objection; or
(b) amend the assessment in the light of the objection according to the
best of his judgment; or
(c) refuse to amend the assessment.
(4) Where the Commissioner either—
(a) agrees to amend the assessment in accordance with the objection;
or
(b) proposes to amend the assessment in the light of the objection and
the person objecting agrees with the Commissioner as to the
proposed amendment,
the assessment shall be amended accordingly and the Commissioner shall
cause a notice setting out the amendment and the amount of tax payable to be
served on that person.
(5) Where the Commissioner—
(a) proposes to amend the assessment in the light of the objection and
the person objecting does not agree with the Commissioner as to
the proposed amendment, the assessment shall be amended as
proposed by the Commissioner and he shall cause a notice setting
out the amendment and the amount of the tax payable to be served
on that person; or
(b) refuses to amend the assessment, he shall cause a notice
confirming the assessment to be served on that person.
[Act No. 6 of 2001, s. 35.]
33. Appeals
(1) A person who disputes the decision of the Commissioner on any matter
arising under the provisions of this Act may, upon giving notice in writing to the
Commissioner, within thirty days of being notified of the decision, appeal to the
Tribunal:
Provided that—
(i) in the case of a dispute arising from an assessment of tax by the
Commissioner under paragraph 9 of the Seventh Schedule, the
person shall, before filing the appeal, pay to the Commissioner
assessed tax not in dispute or such part thereof as the
Commissioner may require; and
(ii) in the case of any other dispute, such person shall, before filing the
appeal, make all returns of tax where applicable as required and
shall pay the amount of tax shown thereon as being due and
payable.
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(2) A party to an appeal under subsection (1) who is dissatisfied with the
decision of the Tribunal may appeal to the High Court within fourteen days of
being notified of the decision:
Provided that, before filing the appeal—
(i) where the person appealing under this subsection is not the
Commissioner; and
(ii) the appeal is in respect of a dispute to which paragraph (i) of the
proviso to subsection (1) applies,
such person shall deposit with the Commissioner the full amount of the tax
disputed.
(3) Any tax deposited with the Commissioner pursuant to the provisions of
this section shall, where the decision of the Tribunal or the High Court, as the
case may be, is in favour of the aggrieved person, be credited to such person.
[Act No. 5 of 1998, s. 21, Act No. 6 of 2001, s. 36, Act No. 15 of 2003, s. 23.]
[Issue 1] 36
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(b) not being a registered person or being a person who has ceased to
be a registered person holds himself out as a registered person; or
(c) is knowingly concerned in or involved in the taking of steps with a
view to the fraudulent evasion of tax by him or by any other person,
shall be guilty of an offence and liable to a fine not exceeding four hundred
thousand shillings or double the tax evaded, whichever is the greater, or to
imprisonment for a period not exceeding three years or to both.
(2) Where a person is convicted of an offence under this section, the Court
may, in addition to any penalty which may be imposed, order the forfeiture of any
taxable goods which have passed in connection with the commission of the
offence or, if the taxable goods cannot be forfeited or cannot be found, of such
sum as the Court shall assess as the value of the taxable goods.
[Act No. 10 of 1990, s. 24, Act No. 13 of 1995, s. 60, Act No. 4 of 1999, s. 24,
Act No. 4 of 2004, s. 39, Act No. 10 of 2006, s. 8.]
[Issue 1] 38
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44. Evidence
In any proceedings, whether criminal or civil, under this Act—
(a) other than upon an appeal, a certificate from the Commissioner or
from the Tribunal stating that any amount is due from any person by
way of tax, or other liability under this Act, shall be conclusive
evidence that the amount is due and payable from that person;
(b) the burden of proving that any tax has been paid or that any goods
or services are exempt from payment of tax shall lie on the person
liable to pay the tax or claiming that the tax has been paid or that the
goods or services are exempt from payment of tax;
(c) a statement by the Commissioner that a person is registered, or is
not registered under this Act, shall be conclusive evidence of the
fact unless that person proves the contrary.
[Act No. 8 of 1996, s. 18.]
39 [Issue 1]
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registered person without payment of tax, and, subject to subsection (3), any
aircraft, vehicle, vessel, animal or other thing made use of in the removal,
conveyance, carriage or transportation of taxable goods liable to forfeiture shall
itself be liable to forfeiture.
(2) Where any aircraft, vehicle, vessel, and animal or other thing is liable to
forfeiture under this Act, then the tackle, apparel, furniture and all other gear
used in connection therewith shall also be liable to forfeiture.
(3) An aircraft, or a vessel of two hundred and fifty tons register or more
made use of in the removal, conveyance, carriage or transportation of taxable
goods liable to forfeiture under this Act shall not itself be liable to forfeiture but
the master of the aircraft or vessel shall be guilty of an offence and liable to a fine
of such amount as court deems just; and the aircraft or vessel may be seized and
detained until the fine is paid or security therefore given.
[Issue 1] 40
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Value Added Tax
seizure, give notice in writing of the seizure and of the reasons therefore to the
owner thereof or, in the case of the vessel or aircraft, the master thereof:
Provided that—
(i) no notice shall be given where a person has, within the period of
one month, been prosecuted for the offence by reason of which the
thing has been seized, or the offence has been compounded under
section 54 and if, after the notice has been given but before
condemnation of the thing in accordance with this Act—
(a) a prosecution is brought, then the thing shall be dealt with in
accordance with section 51 as if no notice has been given;
(b) the offence has been compounded, then the thing shall be
dealt with in accordance with section 54 as if no notice has
been given;
(ii) where the thing has been seized in the presence of a person coming
within the definition of the owner for the purposes of this Act, then it
shall not be necessary for the officer effecting the seizure to give
notice thereof to any other person coming within that definition;
(iii) a notice given to a person coming within the definition of owner shall
be deemed to be notice to all other persons coming within that
definition;
(iv) where no person coming within the definition of owner is known,
then it shall not be necessary for the officer affecting the seizure to
give notice thereof to any person.
(2) Where goods which are of perishable nature are seized the
Commissioner may direct that the goods shall be sold forthwith, either by public
auction or by private treaty, and that the proceeds of sale shall be retained and
dealt with as if they were the goods.
(3) Where anything liable to forfeiture has been seized then—
(a) if a person is being prosecuted for the offence by reason of which
the thing was seized, the thing shall be detained until the
determination of such prosecution and dealt with in accordance with
section 51;
(b) in any other case the thing shall be detained until one month after
the date of seizure, or the date of notice given under subsection (1),
as the case may be; and if no claim is made therefore as provided in
subsection (4) within the period of one month, the thing shall
thereupon be deemed to be condemned.
(4) Where anything liable to forfeiture under this Act has been seized, then
subject to proviso (i) to subsection (1) and to subsection (3)(a), the owner thereof
may, within one month of the date of the seizure or the date of a notice given
under subsection (1), as the case may be, by notice in writing to the
Commissioner claim the thing.
(5) Where a notice of claim has been given in accordance with subsection
(4), then the thing seized shall be detained by the Commissioner to be dealt with
under this Act:
Provided that the Commissioner may permit the thing to be delivered to the
person making the claim (hereinafter in this Part referred to as “the claimant”)
41 [Issue 1]
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subject to the claimant giving payment for the value thereof, as determined by
the Commissioner in the event of its condemnation.
51. Effect of conviction, etc., on things liable for forfeiture
(1) Where a person is prosecuted for an offence under this Act and anything
is liable to forfeiture by reason of the commission of that offence, the conviction
of that person for that offence shall, without further order, have effect as the
condemnation of that thing.
(2) Where a person is prosecuted for an offence under this Act and anything
is liable to forfeiture by reason of the commission of that offence, then, on the
acquittal of that person, the Court may order that thing either—
(a) to be released to the person from whom it was seized or to the
owner thereof; or
(b) to be condemned.
52. Procedure after notice of claim
(1) Where a notice of claim has been given to the Commissioner in
accordance with section 50, then the Commissioner may within a period of two
months from the receipt of the claim, either—
(a) by notice in writing to the claimant, require the claimant to institute
proceedings in a court of competent jurisdiction for the recovery of
the thing within two months of the date of the notice; or
(b) himself institute proceedings in a court of competent jurisdiction for
the condemnation of the thing.
(2) Where the Commissioner fails within a period of two months to require the
claimant to institute proceedings, or himself to institute proceedings, in
accordance with subsection (1), then the goods shall be released to the claimant.
(3) Where the Commissioner has, in accordance with subsection (1) required
the claimant to institute proceedings within a period of two months and the
claimant has failed to do so, then on the expiry of that period the thing shall be
condemned and shall be forfeited and may be sold or otherwise disposed of as
the Commissioner may direct.
(4) Where the proceedings have been instituted in accordance with this
section, then—
(a) if the Court is satisfied that the thing was liable to forfeiture under
this Act it shall be condemned;
(b) if the Court is not satisfied, the thing shall be released to the
claimant:
Provided that the Court shall not so release the thing to the claimant unless
it is satisfied that the claimant is the owner thereof or, by reason of an interest
therein, is entitled to the possession thereof, and if the Court is not so satisfied,
the thing shall be condemned as if no claim thereto had been made.
53. Provisions relating to condemnation
(1) Where anything has been seized under this Act as being liable to
forfeiture, then the condemnation of the thing shall be in no way affected by the
fact that an owner of the thing was in no way concerned with the act which
rendered it liable to forfeiture.
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43 [Issue 1]
CAP. 476 [Rev. 2012]
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[Issue 1] 44
[Rev. 2012] CAP. 476
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58. Regulations
The Minister may make regulations for the better carrying out or giving effect
to the purposes and provisions of this Act, and without prejudice to the generality
of the foregoing, the regulations may—
(a) prescribe conditions and procedure for the registration of taxable
persons;
(b) provide for the submission of returns and the place at which returns
are to be submitted and tax is to be paid;
(c) allow for the remission of small amounts of tax at the discretion of
the Commissioner;
(d) prescribe the form of notices, returns or other forms required for the
purposes of this Act;
(e) prescribe any other thing which is to be prescribed for the purposes
of any provision of this Act.
[Act No. 9 of 2000, s. 31.]
59. Agents
(1) Where under the provisions of this Act a registered person is required to
perform any act, that act may be performed on his behalf by an agent authorized
by him.
(2) Without prejudice to any provision under this Act, the Minister may make
regulations prescribing conditions for any person authorized to act as an agent
under this section.
[Act No. 8 of 2008, s. 18.]
FIRST SCHEDULE
[Section 6, Act No. 10 of 2006, s. 9, L.N. 135/2008, s. 2.]
RATES OF TAX
PART I
Subject to Part II of this Schedule and Parts A, B and C of the Fifth Schedule,
the rate of tax referred to in section 6 shall be 16 per cent of the taxable value.
45 [Issue 1]
CAP. 476 [Rev. 2012]
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FIRST SCHEDULE—continued
PART II
The taxable goods listed below shall be charged tax at the rate of 12 per cent
of the taxable value.
SECOND SCHEDULE
[Section 2(1), Act No. 13 of 1995, s. 66, Act No. 8 of 1996, s. 20, Act No. 4 of 1999, s. 26, Act No. 9
of 2000, s. 33, Act No. 6 of 2001, s. 37, Act No. 7 of 2002,
s. 31, Act No. 15 of 2003, s. 25, Act No. 4 of 2004, s. 40, Act No. 6 of 2005,
s. 14, Act No. 10 of 2006, s. 10, Act No. 9 of 2007, s. 12, Act No. 8 of 2008,
s. 19, Act No. 8 of 2009, s. 12, Act No. 10 of 2009, s. 17.]
EXEMPT GOODS
PART I
Tariff No. Tariff Description
0101.10.00 Live pure-bred breeding horses, asses, mules and hinnies.
0101.90.00 Other live horses, asses, mules and hinnies.
0102.10.00 Live pure-bred breeding bovine animals.
0102.90.00 Other live bovine animals.
0103.10.00 Live pure-bred breeding swine.
0103.91.00 Other live swine weighing less than 50 kg.
0103.92.00 Other live swine weighing 50 kg. or more.
0104.10.10 Pure-bred breeding sheep.
0104.10.90 Other live sheep.
0104.20.10 Live pure-bred breeding goats.
0104.20.90 Other live goats.
0105.11.10 Live day-old fowls of the species Gallus domesticus, weighing
not more than 185g.
[Issue 1] 46
[Rev. 2012] CAP. 476
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
0105.11.90 Other live fowls of the species Gallus domesticus, weighing not
more than 185g.
0105.12.10 Live day old turkeys not weighing more than 185g.
0105.12.90 Other live turkeys not weighing more than 185g.
0105.19.00 Other live poultry weighing not more than 185g.
0105.94.00 Live fowls of the species Gallus domesticus weighing more than
185g.
0105.99.00 Live ducks, geese and guinea fowls weighing more than 185g.
0106.11.00 Primates.
0106.12.00 Whales, dolphins and porpoises (mammals of the order
Cetacean); manatees and dugongs (mammals of the order
Sirenia).
0106.19.00 Other mammals.
0106.20.00 Reptiles (including snakes and turtles).
0106.31.00 Birds of prey.
0106.32.00 Psittaciformes (including parrots, parakeets, macaws and
cockatoos).
0106.39.00 Other birds.
0106.90.00 Other live animals not elsewhere specified.
0201.10.00 Carcasses and half-carcasses of bovine animals, fresh or chilled.
0201.20.00 Other cuts with bone in, of bovine animals, fresh or chilled.
0201.30.00 Boneless meat of bovine animals, fresh or chilled.
0202.10.00 Carcasses and half-carcasses of bovine animals, frozen.
0202.20.00 Other cuts with bone in, of bovine animals, frozen.
0202.30.00 Boneless meat of bovine animals, frozen.
0203.11.00 Carcasses and half-carcasses of swine, fresh or chilled.
0203.12.00 Hams, shoulders and cuts thereof, with bone in, of swine, fresh
or chilled.
0203.19.00 Other meat of swine, fresh or chilled.
0203.21.00 Carcasses and half-carcasses of swine, frozen.
0203.22.00 Hams, shoulders and cuts thereof, with bone in, of swine, frozen.
0203.29.00 Other meat of swine, frozen.
0204.10.00 Carcasses and half-carcasses of lamb, fresh or chilled.
0204.21.00 Carcasses and half-carcasses of sheep, fresh or chilled.
0204.22.00 Other cuts with bone in, of sheep, fresh or chilled.
0204.23.00 Boneless meat of sheep, fresh or chilled.
0204.30.00 Carcasses and half-carcasses of lamb, frozen.
0204.41.00 Carcasses and half-carcasses of sheep, frozen.
0204.42.00 Other cuts with bone in, of sheep, frozen.
47 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
0204.43.00 Other boneless meat of sheep, frozen.
0204.50.00 Meat of goats, fresh, chilled or frozen.
0205.00.00 Meat of horses, asses, mules or hinnies, fresh, chilled or frozen.
0206.10.00 Edible offal of bovine animals, fresh or chilled.
0206.21.00 Tongues of bovine animals, frozen.
0206.22.00 Livers of bovine animals, frozen.
0206.29.00 Other edible offal, of bovine animals, frozen.
0206.30.00 Edible offal of swine, fresh or chilled.
0206.41.00 Livers of swine, frozen.
0206.49.00 Other edible offal of swine, frozen.
0206.80.00 Edible offal of sheep, goats, horses, asses, mules and hinnies,
fresh or chilled.
0206.90.00 Edible offal of sheep, goats, horses, asses, mules or hinnies,
frozen.
0207.11.00 Meat of fowls of the species Gallus domesticus, not cut in pieces,
fresh or chilled.
0207.12.00 Meat of fowls of the species Gallus domesticus, not cut in pieces,
frozen.
0207.13.00 Cuts and edible offal, of fowls of the species Gallus domesticus,
fresh or chilled.
0207.14.00 Cuts and edible offal, of fowls of the species Gallus domesticus,
frozen.
0207.24.00 Meat of turkeys not cut in pieces, fresh or chilled.
0207.25.00 Meat of turkeys not cut in pieces, frozen.
0207.26.00 Cuts and edible offal, of turkeys, fresh or chilled.
0207.27.00 Cuts and edible offal, of turkeys, frozen.
0207.32.00 Meat of ducks, geese or guinea fowls, not cut in pieces, fresh or
chilled.
0207.33.00 Meat of ducks, geese or guinea fowls, not cut in pieces, frozen.
0207.34.00 Fatty livers of ducks, geese or guinea fowls, fresh or chilled.
0207.35.00 Other meat and edible offal of ducks, geese or guinea fowls,
fresh or chilled.
0207.36.00 Other meat and edible offal of ducks, geese or guinea fowls,
frozen.
0208.10.00 Meat and edible meat offal, of rabbits or hares, fresh, chilled or
frozen.
0208.20.00 Frog’s legs, fresh, chilled or frozen.
0208.30.00 Other meat and edible offal of primates, fresh chilled or frozen.
0208.40.00 Other meat and edible offal of whales, dolphins, porpoises
(mammals of the order Cetacean); of manatees and dugongs
(mammals of the order Sirenia) fresh, chilled or frozen.
[Issue 1] 48
[Rev. 2012] CAP. 476
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
0208.50.00 Other meat and edible offal of reptiles (including snakes and
turtles) fresh, chilled or frozen.
0208.90.00 Other meat and edible meat offal, fresh, chilled or frozen.
0301.10.00 Live ornamental fish.
0301.91.00 Live trout.
0301.92.00 Live eels.
0301.93.00 Live carp.
0301.94.00 Live Bluefin Tunas (Thunnus thynnus).
0301.95.00 Live Southern Bluefin tuna (Thunus maccoyii).
0301.99.00 Other live fish.
0302.11.00 Trout, fresh or chilled.
0302.12.00 Pacific, Atlantic and Danube Salmon, fresh or chilled.
0302.19.00 Other salmonidae, fresh or chilled.
0302.21.00 Halibut, fresh or chilled.
0302.22.00 Plaice, fresh or chilled.
0302.23.00 Sole, fresh or chilled.
0302.29.00 Other flat fish, fresh or chilled.
0302.31.00 Albacore or longfinned tunas, fresh or chilled.
0302.32.00 Yellowfin tunas, fresh or chilled.
0302.33.00 Skipjack or stripe-bellied bonito, fresh or chilled.
0302.34.00 Bigeye tunas (Thunnus obesus) fresh or chilled.
0302.35.00 Bluefin tunas (Thunnus thynnus) fresh or chilled.
0302.36.00 Southern bluefin tunas (Thunnus maccoyii) fresh or chilled.
0302.39.00 Other tunas, fresh or chilled.
0302.40.00 Herrings, fresh or chilled.
0302.50.00 Cod, fresh or chilled.
0302.61.00 Sardines, sardinella, brisling or sprats, fresh or chilled.
0302.62.00 Haddock, fresh or chilled.
0302.63.00 Coalfish, fresh or chilled.
0302.64.00 Mackerel, fresh or chilled.
0302.65.00 Dogfish and other sharks, fresh or chilled.
0302.66.00 Eels, fresh or chilled.
0302.67.00 Swordfish (Xiphias gladius), excluding livers and roes, fresh or
chilled.
0302.68.00 Toothfish (Dissostichus spp.), excluding livers and roes, fresh or
chilled.
0302.69.00 Other fish, fresh or chilled.
0302.70.00 Livers and roes of fish, fresh or chilled.
49 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
0303.11.00 Sockeye salmon (red salmon) (Oncorhynchus nerka) frozen.
0303.19.00 Other pacific salmonidae, frozen.
0303.21.00 Trout, frozen.
0303.22.00 Atlantic salmon and Danube salmon, frozen.
0303.29.00 Other salmonidae, frozen.
0303.31.00 Halibut, frozen.
0303.32.00 Plaice, frozen.
0303.33.00 Sole, frozen.
0303.39.00 Other flat fish, frozen.
0303.41.00 Albacore or longfinned tunas, frozen.
0303.42.00 Yellowfin tunas, frozen.
0303.43.00 Skipjack or stripe-bellied bonito, frozen.
0303.44.00 Bigeye tunas (Thunnus obesus) frozen.
0303.45.00 Bluefin tunas (Thunnus thynnus) frozen.
0303.46.00 Southern bluefin tunas (Thunnus maccoyii) frozen.
0303.49.00 Other tunas, frozen.
0303.51.00 Herrings (Clupea harengus, Clupea pallasii), excluding livers and
roes, frozen.
0303.52.00 Cod (Gadus morhua, Gadus ogac, Gadus macrocephalus),
excluding livers and roes, frozen.
0303.61.00 Swordfish (Xiphias gladius), excluding livers and roes, frozen.
0303.62.00 Toothfish (Dissostichus spp.), excluding livers and roes, frozen.
0303.71.00 Sardines, frozen.
0303.72.00 Haddock, frozen.
0303.73.00 Coalfish, frozen.
0303.74.00 Mackerel, frozen.
0303.75.00 Dogfish and other sharks, frozen.
0303.76.00 Eels, frozen.
0303.77.00 Sea bass, frozen.
0303.78.00 Hake, frozen.
0303.79.00 Other fish, frozen.
0303.80.00 Livers and roes of fish, frozen.
0304.11.00 Swordfish (Xiphias glafius) fillet, whether or not minced, fresh or
chilled.
0304.12.00 Toothfish (Dissostichus spp.) fillet, whether or not minced, fresh
or chilled.
0304.19.00 Other fish fillet and fish meat, whether or not minced, fresh or
chilled.
0304.20.00 Frozen fillets of fish.
[Issue 1] 50
[Rev. 2012] CAP. 476
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
0304.21.00 Swordfish (Xiphias glafius) meat, whether or not minced, frozen.
0304.22.00 Toothfish (Dissostichus spp.) meat, whether or not minced,
frozen.
0304.29.00 Other fish meat, whether or not minced, frozen.
0304.90.00 Other fish fillets and other fish meat (whether or not minced),
frozen.
0304.91.00 Swordfish (Xiphias glafius) meat, whether or not minced, frozen.
0304.92.00 Toothfish (Dissostichus spp.) meat, whether or not minced,
frozen.
0304.99.00 Other fish meat, whether or not minced, frozen.
0306.11.00 Rock lobster and other sea crawfish, frozen.
0306.12.00 Lobsters, frozen.
0306.13.00 Shrimps and prawns, frozen.
0306.14.00 Crabs, frozen.
0306.21.00 Rock lobster and other sea crawfish, not frozen.
0306.22.00 Lobsters, not frozen.
0306.23.00 Shrimps and prawns, not frozen.
0307.21.00 Live scallops, including queen scallops, of the gera Pectin,
Chlamys or Placopecten, fresh or chilled.
0307.31.00 Mussels, live, fresh or chilled.
0307.41.00 Cuttle fish and squid, live, fresh or chilled.
0307.51.00 Octopus, live, fresh or chilled.
0407.00.00 Birds’ eggs, in shell, fresh, preserved or cooked.
0408.11.00 Egg-yolks, dried.
0408.19.00 Egg yolks, other than dried.
0408.91.00 Birds’ eggs, not in shell, dried.
0408.99.00 Other birds’ eggs, not in shell, fresh, cooked by steaming or by
boiling in water, moulded, frozen or otherwise preserved,
whether or not containing added sugar or other sweetening
matter.
0511.10.00 Bovine semen.
0511.91.10 Fish eggs and roes.
0511.91.20 Fish waste.
0511.91.90 Other products of fish or crustaceans, molluscs or other aquatic
invertebrates; dead animals of Chapter 3, unfit for human
consumption.
0511.99.10 Animal semen other than of bovine.
0511.99.90 Other animal products not elsewhere specified or included.
0603.10.00 Cut flowers, and flower buds, fresh.
0603.11.00 Cut flowers and flower buds of Roses, fresh.
51 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
0603.12.00 Cut flowers and flower buds of Carnations, fresh.
0603.13.00 Cut flowers and flower buds of Orchids, fresh.
0603.14.00 Cut flowers and flower buds of Chrysanthemums, fresh.
0603.19.00 Other cut flowers and flower buds, fresh.
0603.90.00 Other cut flowers and flower buds.
0701.90.00 Potato, other than potato seed, fresh or chilled.
0702.00.00 Tomatoes, fresh or chilled.
0703.10.00 Onions and shallots, fresh or chilled.
0703.20.00 Garlic, fresh or chilled.
0703.90.00 Leeks and other alliaceous vegetables, fresh or chilled.
0704.10.00 Cauliflowers and headed broccoli, fresh or chilled.
0704.20.00 Brussels sprouts, fresh or chilled.
0704.90.00 Cabbages, kohlrabi, kale and similar edible brassicas, fresh or
chilled.
0705.11.00 Cabbage lettuce (head lettuce), fresh or chilled.
0705.19.00 Other lettuce, fresh or chilled.
0705.21.00 Witloof chicory, fresh or chilled.
0705.29.00 Other chicory, fresh or chilled.
0706.10.00 Carrots and turnips, fresh or chilled.
0706.90.00 Salad beetroot, salsify, celeriac, radishes and similar edible
roots, fresh or chilled.
0707.00.00 Cucumbers and gherkins, fresh or chilled.
0708.10.00 Peas, shelled or unshelled, fresh or chilled.
0708.20.00 Beans, shelled or unshelled, fresh or chilled.
0708.90.00 Other leguminous vegetables, shelled or unshelled, fresh or
chilled.
0709.10.00 Globe artichokes, fresh or chilled.
0709.20.00 Asparagus, fresh or chilled.
0709.30.00 Aubergines (egg-plants), fresh or chilled.
0709.40.00 Celery other than celeriac, fresh or chilled.
0709.51.00 Mushrooms of the genius agaricus, fresh or chilled.
0709.52.00 Truffles, fresh or chilled.
0709.59.00 Other mushrooms and truffles fresh or chilled.
0709.60.00 Fruits of the genus Capsicum or of the genus Pimenta, fresh or
chilled.
0709.70.00 Spinach, New Zealand spinach and orache spinach (garden
spinach), fresh or chilled.
0709.90.00 Other vegetables, fresh or chilled.
[Issue 1] 52
[Rev. 2012] CAP. 476
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
0710.10.00 Potatoes (uncooked or cooked by steaming or boiling in water),
frozen.
0710.21.00 Peas, shelled or unshelled, (uncooked or cooked by steaming or
boiling in water), frozen.
0710.22.00 Beans, shelled or unshelled, (uncooked or cooked by steaming
or boiling in water), frozen.
0710.29.00 Other leguminous vegetables, shelled or unshelled, (uncooked or
cooked by steaming or boiling in water), frozen.
0710.30.00 Spinach, New Zealand spinach and orache spinach (garden
spinach), (uncooked or cooked by steaming or boiling in water),
frozen.
0710.40.00 Sweet corn, (uncooked or cooked by steaming or boiling in
water), frozen.
0710.80.00 Other vegetables, (uncooked or cooked by steaming or boiling in
water), frozen.
0710.90.00 Mixtures of vegetables, (uncooked or cooked by steaming or
boiling in water), frozen.
0712.20.00 Onions, dried, whole, cut, sliced, broken or in powder, but not
further prepared.
0712.31.00 Mushrooms of the genus Agaricus, dried, whole, cut, sliced,
broken or in powder, but not further prepared.
0712.32.00 Wood ears (Auricularia spp.), dried, whole, cut, sliced, broken or
in powder, but not further prepared.
0712.33.00 Jelly fungi (Tremella spp.), dried, whole, cut, sliced, broken or in
powder, but not further prepared.
0712.39.00 Other dried vegetables, dried, whole, cut, sliced, broken or in
powder, but not further prepared.
0712.90.00 Other vegetables; mixtures of vegetables, dried, whole, cut,
sliced, broken or in powder, but not further prepared.
0713.10.00 Peas (pisum sativum) dried, shelled, whether or not skinned or
split.
0713.20.00 Chickpeas (garbanzos), dried, shelled, whether or not skinned or
split.
0713.31.00 Beans of the species Vima mungo (1) Hepper or Vigna quine (1)
Wilczek, dried, shelled, whether or not skinned or split.
0713.32.00 Small red (Adzuki) beans (phaseolus or vagna agularisaris),
dried, shelled, whether or not skinned or split.
0713.33.00 Kidney beans, including white pea beans (phaseolus vulgaris),
dried, shelled, whether or not skinned or split.
0713.39.00 Other beans of the species Vigna spp., Phaseolus spp., dried,
shelled, whether or not skinned or split.
0713.40.00 Lentils, dried, shelled, whether or not skinned or split.
53 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
0713.50.00 Broad beans (vicia faba var. major) and horse beans (vicia faba
var. quine, faba var. minor), dried, shelled, whether or not
skinned or split.
0713.90.00 Other leguminous vegetables, dried, shelled, whether or not
skinned or split.
0714.10.00 Manioc (cassava), fresh or dried, whether or not sliced or in the
form of pellets.
0714.20.00 Sweet potatoes, fresh or dried, whether or not sliced or in the
form of pellets.
0714.90.00 Arrowroot, salep, Jerusalem artichokes and similar roots and
tubers with high starch or insulin content, fresh, chilled, frozen or
dried, whether or not sliced or in the form of pellets; sago pith.
0801.11.00 Coconuts, fresh or dried, whether or not shelled or peeled,
desiccated.
0801.19.00 Coconuts, fresh or dried, whether or not shelled or peeled, not
desiccated.
0801.21.00 Brazil nuts, in shell, fresh or dried.
0801.22.00 Brazil nuts, shelled, fresh or dried.
0801.31.00 Cashew nuts, in shell, fresh or dried.
0801.32.00 Cashew nuts, shelled, fresh or dried.
0802.11.00 Almonds in shell, fresh or dried.
0802.12.00 Almonds, shelled, fresh or dried.
0802.21.00 Hazelnuts or filberts, in shell, fresh or dried.
0802.22.00 Hazelnuts or filberts, shelled, fresh or dried.
0802.31.00 Walnuts in shell, fresh or dried.
0802.32.00 Walnuts shelled, fresh or dried.
0802.40.00 Chestnuts (Castanea spp.), fresh or dried, whether or not shelled
or peeled.
0802.50.00 Pistachios, fresh or dried, whether or not shelled or peeled.
0802.60.00 Macadamia nuts, whether or not shelled or peeled fresh or dried.
0802.90.00 Other nuts, fresh or dried, whether or not shelled or peeled.
0803.00.00 Bananas, including plantains, fresh or dried.
0804.10.00 Dates, fresh or dried.
0804.20.00 Figs, fresh or dried.
0804.30.00 Pineapples, fresh or dried.
0804.40.00 Avocados, fresh or dried.
0804.50.00 Guavas, mangoes and mangosteens, fresh or dried.
0805.10.00 Oranges, fresh or dried.
0805.20.00 Mandarins (including tangerines and satsumas); clementines,
wilkings and similar citrus hybrids, fresh or dried.
[Issue 1] 54
[Rev. 2012] CAP. 476
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
0805.40.00 Grapefruit, fresh or dried.
0805.50.00 Lemons (Citrus limon, Citrus limonum) and limes (Citrus
aurantifolia, Citrus latifolia), fresh or dried.
0805.90.00 Other citrus fruit, fresh or dried.
0806.10.00 Grapes, fresh.
0806.20.00 Grapes, dried.
0807.11.00 Watermelons, fresh.
0807.19.00 Other melons and papaws (papayas), fresh.
0807.20.00 Fresh papaws (papayas)
0808.10.00 Apples, fresh.
0808.20.00 Pears and quinces, fresh.
0809.10.00 Apricots, fresh.
0809.20.00 Cherries, fresh.
0809.30.00 Peaches, including nectarines, fresh.
0809.40.00 Plums and sloes, fresh.
0810.10.00 Strawberries, fresh.
0810.20.00 Raspberries, blackberries, mulberries and loganberries, fresh.
0810.30.00 Black, white or red currants and gooseberries, fresh.
0810.40.00 Cranberries, bilberries and other fruits of the genus Vaccinium,
fresh.
0810.50.00 Kiwifruit, fresh.
0810.60.00 Durians, fresh.
0810.90.00 Other fruit, fresh.
0813.10.00 Apricots, dried.
0813.20.00 Prunes, dried.
0813.30.00 Apples, dried.
0813.40.00 Other dried fruit.
0813.50.00 Mixtures of nuts or dried fruits of Chapter 8.
1001.10.10 Durum wheat specially prepared for sowing.
1001.10.90 Other durum wheat.
1001.90.10 Other wheat and meslin especially prepared for sowing.
1001.90.20 Other hard wheat.
1001.90.90 Other wheat and meslin.
1002.00.10 Rye specially prepared for sowing.
1002.00.90 Other rye.
1003.00.10 Barley specially prepared for sowing.
1003.00.90 Other barley.
1004.00.00 Oats.
55 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
1005.90.00 Other maize (corn).
1007.00.00 Grain sorghum.
1008.10.00 Buckwheat.
1008.20.00 Millet.
1008.30.00 Canary seed.
1008.90.00 Other cereals.
1102.10.00 Rye flour.
1102.30.00 Rice flour.
1102.90.00 Other cereal flours.
1103.11.00 Groats and meal of wheat.
1103.13.00 Groats and meal of maize (corn).
1103.19.00 Groats and meal of other cereals.
1103.20.00 Pellets of cereals.
1104.12.00 Rolled or flaked grain of oats.
1104.19.00 Rolled or flaked grain of other cereals.
1104.22.00 Oats grains, otherwise worked.
1104.23.00 Maize (corn) grains otherwise worked.
1104.29.00 Other cereal grains otherwise worked.
1104.30.00 Germ of cereals, whole, rolled, flaked or ground.
1105.10.00 Flour, meal and powder of potatoes.
1105.20.00 Flakes, granules and pellets of potatoes.
1106.10.00 Flour, meal and powder of the dried leguminous vegetables of
heading No. 07.13.
1106.20.00 Flour, meal and powder of sago or of roots or tubers of heading
No. 07.14.
1106.30.00 Flour, meal and powder of the products of Chapter 8.
1201.00.00 Soya beans, whether or not broken.
1202.10.00 Groundnuts, not roasted or otherwise cooked, in shell.
1202.20.00 Groundnuts, not roasted or otherwise cooked, shelled, whether
or not broken.
1204.00.00 Linseed, whether or not broken.
1205.10.00 Low erucic acid rape or colza seeds.
1205.90.00 Other rape or colza seeds.
1206.00.00 Sunflower seeds, whether or not broken.
1207.10.00 Palm nuts and kernels, whether or not broken.
1207.20.00 Cotton seeds, whether or not broken.
1207.30.00 Castor oil seeds, whether or not broken.
1207.40.00 Sesamum seeds, whether or not broken.
[Issue 1] 56
[Rev. 2012] CAP. 476
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
1207.50.00 Mustard seeds, whether or not broken.
1207.60.00 Safflower seeds, whether or not broken.
1207.91.00 Poppy seeds, whether or not broken.
1207.99.00 Other oil seeds and oleaginous fruits, whether or not broken.
1208.10.00 Flours and meals of soya beans.
1208.90.00 Other flours and meals of oil seeds or oleaginous fruits, other
than those of mustard.
1211.10.00 Liquorice roots.
1211.20.00 Ginseng roots.
1211.30.00 Coca leaf.
1211.40.00 Poppy straw.
1211.90.10 Cinchona bark.
1211.90.20 Pyrethrum flower.
1211.90.90 Other plants and parts of plants (including seeds and fruits), of a
kind used primarily in perfumery, in pharmacy or for insecticidal,
fungicidal or similar purposes, fresh or dried, whether or not cut,
crushed or powdered.
1212.10.00 Locust beans, including locust bean seeds.
1212.20.00 Seaweeds and other algae.
1212.30.00 Apricot, peach or plum stones and kernels.
1212.91.00 Sugar beet, other than seed.
1213.00.00 Cereal straw and husks, unprepared, whether or not chopped,
ground, pressed or in the form of pellets.
1214.10.00 Lucerne (alfalfa) meal and pellets.
1214.90.00 Swedes, mangolds, fodder roots, hay, clover, sainfoin, forage
kale, lupines, vetches and similar forage products, whether or not
in the form of pellets.
1905.90.30 Ordinary bread, gluten bread and unleavened bread.
2302.10.00 Bran, sharps and other residues of maize (corn), whether or not
in the form of pellets.
2302.20.00 Bran, sharps and other residues of rice, whether or not in the
form of pellets.
2302.30.00 Bran, sharps and other residues of wheat, whether or not in the
form of pellets.
2302.40.00 Bran, sharps and other residues of other cereals, whether or not
in the form of pellets.
2302.50.00 Bran, sharps and other residues of leguminous plants, whether
or not in the form of pellets.
2307.00.00 Wine lees; argol.
2709.00.00 Petroleum oils and oils obtained from bituminous minerals,
crude.
57 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
2710.11.10 Motor spirit (gasoline), regular.
2710.11.20 Motor spirit (gasoline), premium.
2710.11.30 Aviation spirit.
2710.11.40 Spirit type jet fuel.
2710.11.50 Special boiling point spirit and white spirit.
2710.11.90 Other light oils and preparations.
2710.19.10 Partly refined (including topped crudes).
2710.19.21 Kerosene type jet fuel.
2710.19.29 Other medium petroleum oils and preparations.
2710.19.31 Gas oil (automotive, light, amber, for high speed engines).
2710.19.39 Other gas oils.
2711.21.00 Natural gas in gaseous state.
2711.29.00 Other natural gases in gaseous state.
3706.10.00 Cinematographic film, exposed and developed whether or not
incorporating sound track or consisting only of sound track of a
width of 35 mm or more.
3706.90.00 Other cinematographic film, exposed and developed, whether or
not incorporating sound track or consisting only of sound track.
4101.20.00 Whole hides and skins, of a weight per skin not exceeding 8 kg
when simply dried, 10 kg when dry-salted, or 16 kg when fresh,
wet-salted or otherwise preserved.
4101.50.00 Whole hides and skins, of weight exceeding 16 kg.
4101.90.00 Other, including butts, bends and bellies.
4102.10.00 Raw skins of sheep or lamb (fresh, or salted, dried, limed,
pickled or otherwise preserved, but not tanned, parchment-
dressed or further prepared), with wool on, whether or not split,
other than those excluded by Note 1(c) to Chapter 41.
4102.21.00 Raw skins of sheep or lambs (pickled, but not tanned,
parchment-dressed or further prepared), without wool on,
whether or not split, other than those excluded by Note 1(c) to
Chapter 41.
4102.29.00 Other raw skins of sheep or lamb (fresh, or salted, dried, limed,
pickled or otherwise preserved, but not tanned, parchment-
dressed or further prepared), with wool on, whether or not split,
other than those excluded by Note 1(c) to Chapter 41.
4103.10.00 Other raw hides and skins (fresh, or salted, dried, limed, pickled
or otherwise preserved, but not tanned, parchment-dressed or
further prepared), whether or not debarred or split, other than
those excluded by Note 1(b) or 1(c) to Chapter 41, of goats or
kids.
[Issue 1] 58
[Rev. 2012] CAP. 476
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
4103.20.00 Other raw hides and skins (fresh, or salted, dried, limed, pickled
or otherwise preserved, but not tanned, parchment-dressed or
further prepared), whether or not debarred or split, other than
those excluded by Note 1(b) or 1(c) to Chapter 41, of reptile.
4103.30.00 Other raw hides and skins (fresh, or salted, dried, limed, pickled
or otherwise preserved, but not tanned, parchment-dressed or
further prepared), whether or not debarred or split, other than
those excluded by Note 1(b) or 1(c) to Chapter 41, of swine.
4103.90.00 Other raw hides and skins other than of reptiles, swine, goats or
kids.
4402.00.00 Wood charcoal (including shell or nut charcoal), whether or not
agglomerated.
4402.10.00 Wood charcoal (including shell or nut charcoal), whether or not
agglomerated of bamboo.
4402.90.00 Other wood charcoal (including shell or nut charcoal), whether or
not agglomerated.
4902.90.00 Other Newspapers, journals and periodicals whether or not
illustrated or containing advertising materials.
4907.00.90 Unused postage, revenue or similar stamps of current or new
issue in the country in which they have or will have a recognized
face value; a Stamp-impressed paper, bank notes, stock, share
or bond certificates and similar documents of title.
7118.90.00 Other coins.
8502.39.10 Unassembled solar DC generating sets.
8502.39.30 Assembled or partly assembled DC generating sets.
8502.39.90 Other assembled or partly assembled DC generating sets.
8504.31.00 Other transformers having a power handling capacity not
exceeding 1KVA.
8504.32.00 Other transformers having a power handling capacity exceeding
1 KVA but not exceeding 16 KVA.
8517.12.00 Telephones for cellular networks or for other wireless networks.
8802.11.00 Helicopters of an unladen weight not exceeding 2,000 kg.
8802.12.00 Helicopters of an unladen weight exceeding 2,000 kg.
8802.20.00 Aeroplanes and other aircraft, of an unladen weight not
exceeding 2,000 kg.
8802.30.00 Aeroplanes and other aircraft, of an unladen weight exceeding
2,000 kg but not exceeding 15,000 kg.
8802.40.00 Aeroplanes and other aircraft, of an unladen weight exceeding
15,000 kg.
8802.60.00 Spacecraft (including satellites) and suborbital and spacecraft
launch vehicles.
8805.10.00 Aircraft launching gear and parts thereof, deck-arrestor or similar
gear and parts thereof.
59 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
SECOND SCHEDULE—continued
Tariff No. Tariff Description
8805.21.00 Air combat simulators and parts thereof.
8805.29.00 Other ground flying trainers and parts thereof.
9301.11.00 Self-propelled artillery weapons (for example, guns, howitzers
and mortars), other than revolvers, pistols and the arms of
heading 93.07.
9301.19.00 Other artillery weapons (for example, guns, howitzers and
mortars).
9301.20.00 Rocket launchers; flame-throwers; grenade launchers; torpedo
tubes and similar projectors.
9301.90.00 Other military weapons (for example, guns, howitzers and
mortars), other than revolvers, pistols and the arms of heading
93.07.
PART II
(i) Taxable goods sold by registered persons where input tax included
in the price of such goods was not allowed.
(ii) Motor vehicles sold by unregistered persons where no input tax was
deducted by a previous owner of such vehicles.
(iii) Acorns and horse chestnuts.
(iv) Wooden coffins.
(v) deleted by Act No. 8 of 2008, s. 19.
(vi) Meslin Flour.
(vii) Electrical energy saving bulbs for lighting, also known as compact
fluorescent bulbs.
(viii) Aquaria pumps.
(ix) Outboard engines of 10 HP.
(ix) Single 2 volt cell units for 300 Ah and above.
(xi) Inverters
[Act No. 10 of 2006, s. 10, Act No. 10 of 2010, s. 17.]
THIRD SCHEDULE
[Section 2(1), Act No. 13 of 1995, s. 67, Act No. 8 of 1996, s. 21, Act No. 8 of 1997, s. 24, Act No. 5
of 1998, s. 24, Act No. 9 of 2000, s. 34, Act No. 6 of 2001,
s. 38, Act No. 7 of 2002, s. 32, Act No. 15 of 2003, s. 26, Act No. 4 of 2004,
s. 41, Act No. 10 of 2006, s. 11, Act No. 8 of 2008, s. 20, Act No. 8 of 2009, s. 13
Act No. 10 of 2010, s. 18.]
EXEMPT SERVICES
The following services shall be exempt services for the purposes of the Act—
1. The following financial services—
(a) the operation of current, deposit or savings accounts, including
the provision of account statements;
[Issue 1] 60
[Rev. 2012] CAP. 476
Value Added Tax
(b) the issue, transfer, receipt or any other dealing with money,
including money transfer services, and accepting over the
counter payments of household bills, but excluding the
services of carriage of cash, restocking of cash machines,
sorting or counting of money;
(c) issuing of credit and debits cards;
(d) automated teller machine transactions, excluding the supply of
automated teller machines and the software to run it;
(e) telegraphic money transfer services;
(f) foreign exchange transactions including the supply of foreign
drafts and international money orders;
(g) cheque handling, processing, clearing and settlement,
including special clearance or cancellation cheques;
(h) the making of any advances or the granting of any credit;
(i) issuance of securities for money, including bills of exchange,
promissory notes, money and postal orders;
(j) the provision of guarantees, letters of credit and acceptance
and other forms of documentary credit;
(k) the issue, transfer, receipt or any other dealing with bonds,
debentures, treasury bills and other forms of security or
secondary security;
(l) the assignment of a debt for consideration;
(m) the management of a unit trust or collective investment
scheme registered by the Capital Markets Authority and
managed by the trustees of the scheme;
(n) credit rating bureau services provided by a credit agency
registered by the Capital Market Authority;
(o) the provision of the above financial services on behalf of
another on a commission basis.
[Act No. 10 of 2006, s. 11, Act No. 8 of 2008, s. 20, Act No. 8 of 2009.]
2. Insurance and reinsurance services excluding the following—
(a) management and related insurance consultancy services;
(b) acturial services;
(c) services of insurance acessors and loss adjustors.
[Act No. 10 of 2006, s. 11(b).]
3. (1) Subject to subparagraph (2), education and training services
offered to students by institutions and establishments
registered by the Government.
(2) Subparagraph (1) shall not apply in respect of business or
user training and other consultancy services designed to
improve work practices and efficiency of an organisation.
4. Medical, veterinary, dental and nursing services.
5. Sanitary and pest control services rendered to domestic
households.
61 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
[Issue 1] 62
[Rev. 2012] CAP. 476
Value Added Tax
(ii) bought in from third parties but materially altered so that the
supply made is substantially different to that purchased.
[Act No. 7 of 2002, s. 32(b).]
16. Services rendered by—
(a) trade, professional and labour associations;
(b) educational, political, religious, welfare and other philanthropic
associations,
to their members:
Provided that this paragraph shall not apply where any such
services are rendered by way of business.
17. (1) The following entertainment services—
(a) stage plays and performances which are conducted by
educational institutions, approved by the Minister for the
time being responsible for education as part of learning;
(b) sports, games or cultural performances conducted under
the auspices of the Minister for the time being
responsible for Culture and Social Services;
(c) entertainment of a charitable, educational, medical,
scientific or cultural nature as may be approved in writing
by the Commissioner prior to the date of entertainment
for the benefit of the public; or
(d) entertainment organized by a non-profit making
charitable, educational, medical, scientific or cultural
society registered under the Societies Act (Cap. 108)
where entertainment is in furtherance of the objects of
society as may be approved in writing by the
Commissioner prior to the date of the entertainment;
(e) entertainment performed wholly by artistes who are
resident in Kenya.
(2) For the purposes of this paragraph, “resident” means a
person who—
(a) has a permanent home in Kenya; or
(b) has no permanent home in Kenya, but—
(i) was present in Kenya for a period or periods
amounting, in the aggregate, to 183 days or more
in each calendar year; or
(ii) was present in Kenya in the calendar year of
performance and in each of the two immediately
preceding calendar years, for the periods
amounting in the aggregate to more than 122
days in each calendar year.
[Act No. 15 of 2003, s. 26, Act No. 10 of 2006, s. 11(c).]
18. Accommodation and restaurant services provided within the
following premises by the proprietors thereof—
(a) deleted by Act No. 8 of 2008, s. 20.
63 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
FOURTH SCHEDULE
[Repealed by No. 9 of 2007, s. 14.]
FIFTH SCHEDULE
[Section 8(2).]
ZERO-RATING
[Issue 1] 64
[Rev. 2012] CAP. 476
Value Added Tax
FIFTH SCHEDULE—continued
2. The supply of goods or taxable services to designated foreign aid funded
capital investment projects where the agreement specifically provides for tax
exemption, provided that the supplies are acquired prior to payment of taxes.
3. The supply of goods or taxable services to an export processing zone
enterprise as specified in the Export Processing Zones Act (Cap. 517), as being
eligible for duty and tax free importation.
4. The supply of goods to any person or organisation specified in the Eight
Schedule or taxable services to persons or organisations specified in Part C of
the Eight Schedule.
5. Shipstores supplied to international sea and air carriers on international
voyage or flight.
6. Deleted by Act No. 10 of 2010, s. 19.
7. The supply of taxable goods or taxable services under a contract to an
official aid-funded project where the agreement specifically provides for the
remission of tax.
8. Services supplied by hotel establishments to foreign travel and tourism
promoters undertaking a tour in the promotion of tourism in Kenya provided that
the tour is recommended by the Director of Tourism and conducted in
conjunction with local tour associations in accordance with a predetermined
written itinerary.
9. The supply of coffee and tea for export to coffee and tea auction centres
and taxable supplies in respect of tea or coffee bought from the auction centres
provided the tea or coffee is for export.
[Act No. 8 of 2009, 2nd Sch.]
65 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
FIFTH SCHEDULE—continued
19. The supply of taxable goods or taxable services for use in construction of
grain soils upon approval by the Director of Agriculture.
[Act No. 8 of 2009, 2nd Sch.]
20. The supply of taxable goods, including motor vehicles, and taxable
services to Kenya Red Cross Society.
[Act No. 8 of 2009, 2nd Sch.]
21. The supply of taxable good and taxable services to a film producer
approved by the Minister responsible for Information.
[Act No. 8 of 2009, 2nd Sch.]
[Issue 1] 66
[Rev. 2012] CAP. 476
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
0601.20.00 Bulbs, tubers, tuberous roots, corms, crowns and rhizomes, in
growth or in flower; chicory plants and roots.
0602.10.00 Unrooted cuttings and slips of live plants.
0602.20.00 Trees, shrubs and bushes, grafted or not, of kinds which bear
edible fruit or nuts.
0602.30.00 Rhododendrons and azaleas, grafted or not.
0602.40.00 Roses, grafted or not.
0602.90.00 Other live plants (including their roots), cuttings and slips;
mushroom spawn.
0701.10.00 Potato seed, fresh or chilled.
0901.11.00 Coffee, not roasted or decaffeinated.
1005.10.00 Maize (corn) seed.
1006.10.00 Rice in the husk (paddy or rough).
1006.20.00 Husked (brown) rice.
1006.30.00 Semi milled or whole milled rice, whether or not polished or
glazed.
1006.40.00 Broken rice.
1102.20.00 Maize (corn) flour.
1209.10.00 Sugar beet seed of a kind used for sowing.
1209.21.00 Lucerne (alfalfa) seed, of a kind used for sowing.
1209.22.00 Clover (Trifolium spp.) seed, of a kind used for sowing.
1209.23.00 Fescue seed, of a kind used for sowing.
1209.24.00 Kentucky blue grass seed, of a kind used for sowing.
1209.25.00 Rye grass seed, of a kind used for sowing.
1209.26.00 Timothy grass seed, of a kind used for sowing.
1209.29.00 Other seeds of forage plants, other than beet seed, of a kind
used for sowing.
1209.30.00 Seeds of herbaceous plants cultivated principally for their
flowers, of a kind used for sowing.
1209.91.00 Vegetable seeds, of a kind used for sowing.
1209.99.00 Other seeds, fruit and spores, of a kind used for sowing.
1702.30.00 Glucose and glucose syrup, not containing fructose or containing
in the dry state less than 20% by weight of fructose.
1702.40.00 Glucose and glucose syrup containing in the dry state at least
20% by weight of fructose excluding invert sugar.
1702.50.00 Chemically pure fructose.
1702.60.00 Other fructose and fructose syrup, containing in the dry state
more than 50% by weight of fructose, excluding invert sugar.
1702.90.00 Other, including invert sugar and other sugar and sugar syrup
blends containing in the dry state 50% by weight of fructose.
67 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
1901.10.00 Preparations for infant use, put up for retail sale.
2106.90.10 Food preparations not elsewhere specified or included specially
prepared for infants.
2304.00.00 Oil-cake and other solid residues, whether or not ground or in the
form of pellets, resulting from the extraction of soya-bean oil.
2305.00.00 Oil-cake and other solid residues, whether or not ground or in the
form of pellets, resulting from the extraction of ground-nut oil.
2306.10.00 Oil-cake and other residues of cotton seeds whether or not
ground or in the form of pellets resulting from the extraction of
vegetable fats or oils, other than those of heading 23.04. or
23.05.
2306.20.00 Oil-cake and other residues of linseed whether or not ground or
in the form of pellets resulting from the extraction of vegetable
fats or oils, other than those of heading 23.04. or 23.05.
2306.30.00 Oil-cake and other residues of sunflower seeds whether or not
ground or in the form of pellets resulting from the extraction of
vegetable fats or oils, other than those of heading 23.04. or
23.05.
2306.41.00 Oil-cake and other residues of low erucic acid rape or colza
seeds.
2306.49.00 Other oil-cake and other residues of rape or colza seeds.
2306.50.00 Oil-cake and other residues of coconut or copra whether or not
ground or in the form of pellets resulting from the extraction of
vegetable fats or oils, other than those of heading 23.04. or
23.05.
2306.60.00 Oil-cake and other residues of palm nuts or kernels whether or
not ground or in the form of pellets resulting from the extraction
of vegetable fats or oils, other than those of heading 23.04 or
23.05.
2306.70.00 Oil-cake and other solid residues of maize (corn) germ, whether
or not ground or in the form of pellets, resulting from the
extraction of vegetable fats or oils, other than those of heading
23.04 or 23.05.
2306.90.00 Other oil-cake and other solid residues, whether or not ground or
in the form of pellets, resulting from the extraction of vegetable
fats and oils, other than those of heading 23.04 or 23.05.
2309.90.00 Other preparations of a kind used in animal feeding.
2710.19.21 Kerosene type jet fuel.
2710.19.22 Illuminating kerosene (1K).
2711.11.00 Liquefied natural gas.
2711.12.00 Propane.
2711.13.00 Butanes.
2711.14.00 Ethylene, propylene, butylenes et butadiene.
[Issue 1] 68
[Rev. 2012] CAP. 476
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
2711.19.00 Other liquefied petroleum gases.
2801.10.00 Chlorine.
2818.30.00 Aluminum hydroxide.
2825.50.00 Copper oxides and hydroxides.
2827.41.00 Chloride oxides and chloride hydroxides of copper.
2827.49.00 Other chloride oxides and chloride hydroxides.
2828.10.00 Commercial calcium hypochlorite, and other calcium
hypoclorites.
2833.22.00 Sulphates of aluminium.
2936.10.00 Provitamins, unmixed.
2936.21.00 Vitamins A and their derivatives, unmixed.
2936.22.00 Vitamin B1 and its derivatives, unmixed.
2936.23.00 Vitamin B2 and its derivatives, unmixed.
2936.24.00 D– or DL– Pantothenic acid (Vitamin B3 or Vitamin B5) and its
derivatives, unmixed.
2936.25.00 Vitamin B6 and its derivatives, unmixed.
2936.26.00 Vitamin B12 and its derivatives, unmixed.
2936.27.00 Vitamin C and its derivatives, unmixed.
2936.28.00 Vitamin E and its derivatives, unmixed.
2936.29.00 Other vitamins and their derivatives, unmixed.
2936.90.00 Intermixture of provitamins and vitamins, including natural
concentrates and their derivatives whether or not in any solvent.
2937.11.00 Somatotropin, its derivatives and structural analogues.
2937.12.00 Insulin and its salts.
2937.19.00 Other polypeptic hormones.
2937.21.00 Cortisone, hydrocortisone, prednisone (dehydrocortisone) and
prednisolone (dehydrohydrocortisone).
2937.22.00 Halogenated derivatives of adrenal cortical hormones.
2937.23.00 Oestrogen and progestogens.
2937.29.00 Other adrenal cortical hormones and their derivatives.
2937.31.00 Epinephrine.
2937.39.00 Other catecholamine hormones, their derivatives and structural
analogues.
2937.40.00 Amino-acids derivatives.
2937.50.00 Prostaglandins, thromboxanes and leukotrienes, their derivatives
and structural analogues.
2937.90.00 Other hormones.
2941.10.00 Penicillins and their derivatives with a penicillanic acid structure;
salts thereof.
69 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
2941.20.00 Streptomycins and their derivatives; salts thereof.
2941.30.00 Tetracyclines and their derivatives; salts thereof.
2941.40.00 Chloramphenicol and its derivatives; salts thereof.
2941.50.00 Erythromycin and its derivatives; salts thereof.
2941.90.00 Other antibiotics.
3001.10.00 Glands and other organs, dried, whether or not powdered.
3001.20.00 Extracts of glands or other organs or of their secretions.
3001.90.00 Heparin and its salts and other human or animal substances,
prepared for therapeutic or prophylactic uses, not elsewhere
specified or included.
3002.10.00 Antisera and other blood fractions and modified immunological
products, whether or not obtained by means of biotechnological
processes.
3002.20.00 Vaccines for human medicine.
3002.30.00 Vaccines for veterinary medicine.
3002.90.00 Human blood; animal blood prepared for therapeutic,
prophylactic or diagnostic uses, toxins, cultures of micro-
organisms (excluding yeasts) and similar products.
3003.10.00 Medicaments containing penicillins or derivatives thereof, with a
penicillanic acid structure, of streptomycins or their derivatives,
not put in measured doses or in forms or packings for retail sale.
3003.20.00 Medicaments containing other antibiotics not put up in measured
doses or in forms or packings for retail sale.
3003.31.00 Medicaments containing insulin not put up in measured doses or
in forms or packings for retail sale.
3003.39.00 Other medicaments containing hormones or other products of
heading No. 29.37 but not containing antibiotics not put up in
measured doses or in forms or packings for retail sale.
3003.40.00 Medicaments containing alkaloids or derivatives thereof but not
containing hormones or other products of heading No. 29.37 or
antibiotics, not put up in measured doses or in forms or packings
for retail sale.
3003.90.00 Other medicaments (excluding goods of heading No. 30.02,
30.05 or 30.06) consisting of two or more constituents which
have been mixed together for therapeutic or prophylactic uses,
not put up in measured doses or in forms or packings for retail
sale.
3004.10.00 Medicaments containing penicillins or derivatives thereof, with a
penicillanic acid structure, or streptomycins or their derivatives,
put up in measured doses or in forms or packings for retail sale.
3004.20.00 Medicaments containing other antibiotics put up in measured
doses or in forms or packings for retail sale.
[Issue 1] 70
[Rev. 2012] CAP. 476
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
3004.31.00 Medicaments containing insulin put up in measured doses or in
forms or packings for retail sale.
3004.32.00 Medicaments containing corticosteroid hormones put up in
measured doses or in forms or packings for retail sale.
3004.39.00 Other medicaments containing hormones or other products of
heading No. 29.37 but not containing antibiotics, put up in
measured doses or in forms or packings for retail sale.
3004.40.00 Medicaments containing alkaloids or derivatives thereof but not
containing hormones, or other products of heading No. 29.37 or
antibiotics put up in measured doses or in forms or packings for
retail sale.
3004.50.00 Other medicaments containing vitamins or other products of
heading No. 29.36 put up in measured doses or in forms or
packings for retail sale.
3004.90.00 Others medicaments (excluding goods of heading No. 30.02,
30.05 or 30.06) consisting of mixed or unmixed products for
therapeutic or prophylactic uses, put up in measured doses or in
forms or packings for retail sale.
3005.10.00 Adhesive dressings and other articles having an adhesive layer
impregnated or coated with pharmaceutical substances or put up
in forms or packings for retail sale for medical surgical, dental or
veterinary purposes.
3005.90.10 White absorbent cotton wadding impregnated or coated with
pharmaceutical substances or put up in forms or packings for
retail sale for medical, surgical dental or veterinary purposes.
3005.90.90 Other wadding, gauze, bandages and similar articles (for
example dressings, adhesive plasters, poultices), impregnated or
coated with pharmaceutical substances or put up in forms or
packings for retail sale for medical, surgical, dental or veterinary
purposes.
3006.10.00 Sterile surgical catgut, similar sterile suture materials and sterile
tissue adhesives for surgical wound closure, sterile laminaria and
sterile laminaria tents; sterile absorbable surgical or dental
haemostatics.
3006.20.00 Blood-grouping reagents.
3006.30.00 Opacifying preparations for X-ray examinations; diagnostic
reagents designed to be administered to the patient.
3006.40.00 Dental cements and other dental fillings; bone reconstruction
cements.
3006.50.00 First-aid boxes and kits.
3006.60.00 Chemical contraceptive preparations based on hormones or
spermicides.
71 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
3006.70.00 Gel preparations designed to be used in human or veterinary
medicine as a lubricant for parts of the body for surgical
operations or physical examinations or as a coupling agent
between the body and medical instruments.
3006.91.00 Appliances identifiable for ostomy use.
3006.92.00 Waste Pharmaceuticals.
3101.00.00 Animal or vegetable fertilizers, whether or not mixed together or
chemically treated; fertilizers produced by the mixing or chemical
treatment of animal or vegetable products.
3102.10.00 Urea, whether or not in aqueous solution.
3102.21.00 Ammonium sulphate.
3102.29.00 Double salts and mixtures of ammonium sulphate and
ammonium nitrate.
3102.30.00 Ammonium nitrate, whether or not in aqueous solution.
3102.40.00 Mixtures of ammonium nitrate with calcium carbonate or other
inorganic non-fertilising substances.
3102.50.00 Sodium nitrate.
3102.60.00 Double salts and mixtures of calcium nitrate and ammonium
nitrate.
3102.70.00 Calcium cyanamide.
3102.80.00 Mixtures of urea and ammonium nitrate in aqueous or
ammoniacal solution.
3102.90.00 Other mineral or chemical fertilisers, nitrogenous including
mixtures not specified in the foregoing subheadings.
3103.10.00 Superphosphates.
3103.20.00 Basic slag.
3103.90.00 Other mineral or chemical fertilizers, phosphatic.
3104.10.00 Carnallite, sylvite and other crude natural potassium salts.
3104.20.00 Potassium chloride.
3104.30.00 Potassium sulphate.
3104.90.00 Other mineral or chemical fertilizers, potassic.
3105.10.00 Goods of this Chapter in tablets or similar forms or in packages
of a gross weight not exceeding 10 kg.
3105.20.00 Mineral or chemical fertilizers containing the three fertilizing
elements nitrogen, phosphorus potassium.
3105.30.00 Diammonium hydrogenorthophosphate (diammonium
phosphate).
3105.40.00 Ammonium dihydrogenorthophosphate (monoammonium
phosphate) and mixtures thereof with diammonium
hydrogenorthophosphate (diammonium phosphate).
[Issue 1] 72
[Rev. 2012] CAP. 476
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
3105.51.00 Other mineral or chemical fertilizers containing nitrates and
phosphates.
3105.59.00 Other mineral or chemical fertilizers containing the two fertilizing
elements nitrogen and phosphorous.
3105.60.00 Mineral or chemical fertilizers containing the two fertilizing
elements phosphorus and potassium.
3105.90.00 Other fertilizers.
3604.90.00 Signalling flames, rain rockets, fog signals and other pyrotechnic
articles.
3701.10.00 Photographic plates and film in the flat, sensitized, unexposed of
any material other than paper, paperboard or textiles, for x-ray.
3702.10.00 Photographic film in rolls sensitised, unexposed of any material
other than paper, paperboard or textiles, for x-rays.
3702.51.00 Other photographic film on rolls, sensitized, unexposed, of any
material other than paper, paperboard or textiles; for colour
photograph (polychlrome) of a width not exceeding 16 mm and of
a length not exceeding 14 m.
3702.52.00 Other photographic film on rolls, sensitized, unexposed, of any
material other than paper, paperboard or textiles; for colour
photograph (polychlrome) of a width not exceeding 16 mm and of
a length exceeding 14 m.
3702.53.00 Other photographic film on rolls, sensitized, unexposed, of any
material other than paper, paperboard or textiles; for colour
photograph (polychlrome) of a width exceeding 16 mm but not
exceeding 35 mm and of a length not exceeding 30 m, for slides.
3702.54.00 Other photographic film on rolls, sensitized, unexposed, of any
material other than paper, paperboard or textiles; for colour
photograph (polychlrome) of a width exceeding 16 mm but not
exceeding 35 mm and of a length exceeding 30 m other than for
slides.
3702.55.00 Other photographic film on rolls, sensitized unexposed, of any
material other than paper, paperboard or textiles; for colour
photograph (polychlrome) of a width exceeding 16 mm but not
exceeding 35 mm and of a length exceeding 30m.
3808.10.20 Mosquito coils, chips, mats and similar insecticidal products
designed for use by burning or heating.
3808.50.00 Insecticides, rodenticides, fungicides, herbicides, anti-sprouting
products and plant-growth regulators, disinfectants and similar
products, put up in forms or packings for retail sale or as
preparations or articles (for example, sulphur-treated bands,
wicks and candles, and fly-papers), containing one or more of
the following substances: aldrin (ISO); binapacryl (ISO);
camphechlor (ISO) (toxaphene); captafol (ISO); chlordane (ISO);
chlordimeform (ISO); chlorobenzilate (ISO); DDT (ISO)
(clofenotane (INN), 1,1,1-trichloro-2,2-bis(p-chlorophenyl) ethane);
73 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
dieldrin (ISO INN); dinoseb (ISO), its salts or esters; ethylene
dibromide (ISO) (1,2-dibromoethane); ethylene dichloride (ISO)
(1,2-dichloroethane); fluoroacetamide (ISO); heptachlor (ISO);
hexachlorobenzene (ISO); 1,2,3,4,5,6-hexachlorocyclohexane
(HCH (ISO)), including lindane (ISO, INN); mercury compounds;
methamidophos (ISO); monocrotophos (ISO); oxirane (ethylene
oxide); parathion (ISO); parathion-methyl (ISO) (methyl-
parathion); pentachlorophenol (ISO); phosphamidon (ISO); 2,4,5-
T (ISO) (2,4,5-trichlorophenoxyacetic acid), its salts or its esters.
3808.91.10 Naphthalene balls insecticides.
3808.91.20 Mosquito coils, chips, nets and similar insecticidal products
designed for use by burning or heating.
3808.91.31 Pyrethrum based aerosol spray insecticides.
3808.91.39 Other aerosol spray insecticides.
3808.91.90 Other insecticides put up in forms or packings for retail sale or
preparations or articles.
3808.92.00 Fungicides.
3808.93.00 Herbicides, anti-sprouting products and plant growth regulators.
3808.94.00 Disinfectants put up in forms or packings for retail sale or
preparations or articles.
3808.99.00 Rodenticides and other similar products, put up in forms or
packings for retail sale or as preparations or articles (for example
sulphur-treated bands, wicks and candles and fly-papers).
3813.00.00 Preparations and charges for fire-extinguishers; charged fire
extinguishing grenades
3821.00.00 Prepared culture media for development of micro-organisms.
3822.00.00 Diagnostic or laboratory reagents on a backing and prepared
diagnostic or laboratory reagents whether or not on a backing,
other than those of heading No. 30.02 or 30.06.
3926.90.10 Floats for fishing nets.
4014.10.00 Sheath contraceptives.
4015.11.00 Surgical gloves of rubber.
4818.40.10 Sanitary towels and tampons.
4820.20.00 Exercise books.
4901.91.00 Dictionaries and encyclopaedias, and serial instalments thereof.
4901.99.00 Other printed books, brochures, leaflets and similar printed
matter.
4902.10.00 Newspapers, journals and periodicals whether or not illustrated
or containing advertising materials, appearing at least four times
a week.
4903.00.00 Children’s picture, drawing or colouring books.
[Issue 1] 74
[Rev. 2012] CAP. 476
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
4904.00.00 Music, printed or in manuscript, whether or not bound or
illustrated.
4905.10.00 Globes, printed.
4905.91.00 Maps and hydrographic or similar charts of all kinds including
atlases, wall maps and topographical plans, printed, in book
form.
4905.99.00 Other maps and hydrographic or similar charts of all kinds
including atlases, wall maps, and topographical plans, printed.
4911.99.10 Instructional charts and diagrams.
4911.99.20 Examination papers, excluding stationery.
5601.10.00 Sanitary towels and tampons.
5608.11.00 Made up fishing nets of man-made textile materials.
6304.91.10 Mosquito nets.
7010.10.00 Ampoules of a kind used for the conveyance or packing of
goods.
7015.10.00 Glasses for corrective spectacles.
7017.10.00 Laboratory, hygienic or pharmaceutical glassware whether or not
graduated or calibrated of fused quartz or other fused silica.
7017.20.00 Laboratory, hygienic or pharmaceutical glassware of other glass
having a linear coefficient of expansion not exceeding 5 x 10-6
per Kelvin within a temperature range of 0°C to 300°C.
7017.90.00 Other laboratory hygienic or pharmaceutical glassware, whether
or not graduated or calibrated.
7326.90.10 Traps and snares for destruction of pests, of iron or steel.
7326.90.20 Reels for fire hose, of iron or steel.
8412.39.00 Other pneumatic power engines and motors.
8413.20.00 Hand pumps for liquids, other than those of subheading 8413.11
or 8413.19.
8418.69.10 Other refrigerating or freezing equipment for dairying or fishing.
8419.20.00 Medical, surgical or laboratory sterilizers.
8419.31.00 Dryers, for agricultural products.
8424.10.00 Fire extinguishers whether or not charged.
8424.81.00 Other appliances for agricultural or horticultural use.
8432.10.00 Ploughs.
8432.21.00 Disc harrows.
8432.29.00 Other harrows, scarifiers, cultivators, weeders and hoes.
8432.30.00 Seeders, planters and transplanters.
8432.40.00 Manure spreaders and fertilizers distributors.
8433.20.00 Other mowers, including cutter bars for tractor mounting.
8433.30.00 Other haymaking machinery.
75 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
8433.40.00 Straw or fodder balers, including pick-up balers.
8433.51.00 Combine harvester-threshers.
8433.52.00 Other threshing machinery.
8433.53.00 Root or tuber harvesting machines.
8433.59.00 Other harvesting machinery.
8433.60.00 Machines for cleaning, sorting or grading eggs, fruits or other
agricultural produce.
8433.90.90 Parts of harvesting or threshing machinery including straw or
fodder balers, grass or hay mowers, of machines for cleaning,
sorting or grading eggs, fruit or other agricultural produce other
than parts of lawn mowers.
8434.10.00 Milking machines.
8434.20.00 Dairy machinery.
8434.90.00 Parts of milking machines and dairy machinery.
8436.10.00 Machinery for preparing animal feeding stuffs.
8436.21.00 Poultry incubators and brooders.
8436.29.00 Poultry-keeping machinery.
8436.80.00 Other agricultural, horticultural, forestry, grinding, milling or
beekeeping machinery, including germination plant fitted with
mechanical or other thermal equipment.
8436.91.00 Parts of poultry-keeping machinery or poultry incubators and
brooders.
8436.99.00 Other parts of agricultural, horticultural, forestry, grinding, milling
or bee-keeping machinery including germination plant fitted with
mechanical or other thermal equipment.
8437.10.00 Machines for cleaning, sorting or grading seed, grain or dried
leguminous vegetables.
8438.30.00 Machinery for sugar manufacture.
8443.31.00 Machines which perform two or more of the functions of printing,
copying or facsimile transmission, capable of connecting to an
automatic data processing machine or a network.
8443.32.00 Other printers capable of connecting to an automatic data
processing machine or to a network.
8444.00.00 Machines for extruding, drawing, texturing cutting man-made
textile materials.
8445.11.00 Carding machines for preparing textile fibres.
8445.12.00 Combing machines for preparing textile fibres.
8445.13.00 Drawing or roving machines for preparing textile fibres.
8445.19.00 Other machines for preparing textile fibres.
8445.20.00 Textile spinning machines.
8445.30.00 Textile doubling or twisting machines.
[Issue 1] 76
[Rev. 2012] CAP. 476
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
8445.40.00 Textile winding (including weft winding) or reeling machines.
8445.90.00 Other machines and machinery for producing textile yarns; and
machines for preparing textile yarns for use on the machines of
heading No. 84.46 or 84.47.
8446.10.00 Weaving machines (looms) for weaving fabrics of a width not
exceeding 30 cm.
8446.21.00 Power looms for weaving fabrics of a width exceeding 30 cm,
shuttle type.
8446.29.00 Other looms for weaving fabrics of a width exceeding 30 cm,
shuttle type.
8446.30.00 Weaving machines (looms) for weaving fabrics of a width
exceeding 30 cm, shuttleless type.
8447.11.00 Circular knitting machines with cylinder diameter not exceeding
165 mm.
8447.12.00 Circular knitting machines with cylinder diameter exceeding 165
mm.
8447.20.00 Flat knitting machines; stitch bonding machines.
8447.90.00 Other knitting machines and machines for making gimped yarn,
tulle, lace, embroidery, trimmings, braid or net and machines for
tufting.
8448.11.00 Dobbies and Jacquards; card reducing, copying, punching or
assembling machines for use therewith.
8448.19.00 Other auxiliary machinery for machines of heading Nos. 84.44,
84.45, 84.46 or 84.47.
8448.20.00 Parts and accessories of machines of heading No. 84.44 or of
their auxiliary machinery.
8448.31.00 Card clothing machines.
8448.32.00 Parts of machines for preparing textile fibres, other than card
clothing.
8448.33.00 Spindles, spindle flyers, spinning rings and ring travellers.
8448.39.00 Other parts and accessories of machines of heading No. 84.45
or of their auxiliary machinery.
8448.41.00 Shuttles for weaving machines (looms) or of their auxiliary
machinery.
8448.42.00 Reads for looms, healds and heald frames.
8448.49.00 Other parts and accessories of weaving machines (looms) or of
their auxiliary machinery.
8448.51.00 Sinkers, needles and other articles used in forming stitches.
8448.59.00 Other parts and accessories knitting machines, stitch-bonding
machines and machines for making gimped yarn, tulle, lace
embroidery, trimmings, braids, net or tufting of heading No. 84.47
of their auxiliary.
77 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
8449.00.00 Machinery for the manufacture or finishing of felt or non-wovens
in the piece or in shapes, including machinery for making felt
hats; blocks for making hats.
8471.10.00 Analogue or hybrid automatic data processing machines.
8471.30.00 Portable digital automatic data processing machines, weighing
not more than 10kg, consisting of at least a central processing
unit, a keyboard and a display.
8471.41.00 Other digital automatic data processing machines comprising in
the same housing at least a central processing unit and input and
output unit, whether or not combined.
8471.49.00 Other digital automatic data processing machines presented in
the form of systems.
8471.50.00 Other digital processing units other than those of sub-heading
8471.41 or 8471.49 whether or not containing in the same
housing one or two of the following types of units: storage units,
input units, output units.
8471.60.00 Input or output units whether or not containing storage units in
the same housing.
8471.70.00 Storage units.
8471.80.00 Other units of automatic data processing machines.
8471.90.00 Other automatic data processing machines and units not
elsewhere specified as included.
8473.30.00 Parts and accessories of the machines of heading 84.71.
8501.31.00 DC generators of an output not exceeding 750w.
8501.32.00 DC generators of an output not exceeding 750w but not
exceeding 75kw.
8501.33.00 DC generators of an output exceeding 75kw but not exceeding
375kw.
8501.34.00 DC generators of an output exceeding 375kw.
8502.11.00 Generating sets of output not exceeding 75 KVA.
8502.12.00 Generating sets an output exceeding 75 KVA but not exceeding
375 KVA.
8502.13.00 Generating sets of an output exceeding 375 KVA.
8502.20.00 Generating sets with spark ignition internal combustion piston
engines.
8502.31.00 Wind powered generating sets.
8502.39.00 Other generating sets.
8504.40.00 Static converters.
8515.21.00 Fully or partly automatic machines and apparatus for resistance
wielding of metal.
8515.29.00 Other machines and apparatus for resistance wielding of metal.
[Issue 1] 78
[Rev. 2012] CAP. 476
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
8515.31.00 Fully or partly automatic machines and apparatus for arc
(including plasma arc) welding of metals.
8515.39.00 Other machines and apparatus for arc (including plasma arc)
welding of metals.
8521.90.00 Other video recording or reproducing apparatus whether or not
incorporating a video tuner.
8523.21.10 Unrecorded Magnetic media cards incorporating a magnetic
stripe.
8525.50.00 Transmission apparatus.
8525.60.00 Transmission apparatus incorporating reception apparatus.
8525.80.00 Television cameras, digital cameras and video camera
recorders.
8528.41.00 Cathode-ray type monitors of a kind solely or principally used in
an automatic data processing system of heading 8471.
8528.51.00 Other monitors of a kind solely or principally used in an
automatic data processing system of heading 8471.
8528.61.00 Projectors of a kind solely or principally used in an automatic
data processing system of heading 8471.
8542.31.00 Processors and controllers, whether or not combined with
memories, converters, logic circuits, amplifiers, clock and timing
circuits or other circuits.
8701.10.00 Pedestrian controlled tractors.
8701.20.10 Unassembled road tractors for semi-trailers.
8701.20.90 Other road tractors for semi-trailers.
8702.10.91 Vehicles (eg. buses), unassembled, with a seating capacity
exceeding 25 passengers, for assembly into complete vehicles
by a vehicle manufacturer.
8702.10.99 Vehicles (eg. buses), assembled, with seating capacity of more
than 25 passengers (diesel or semi-diesel).
8702.90.91 Vehicles (eg. buses) with seating capacity of more than 25
passengers (other than diesel or semi-diesel), unassembled, for
assembly into complete vehicles by a vehicle manufacturer.
8702.90.99 Assembled buses, with seating capacity of more than 25
passengers (other than diesel or semi-diesel).
8703.90.10 Ambulances and hearses.
8705.30.00 Fire fighting vehicles.
8711.10.00 Motor cycles with reciprocating internal combustion piston engine
of a cylinder capacity not exceeding 50cc.
8711.20.00 Motor cycles with reciprocating internal combustion piston engine
of a cylinder capacity exceeding 50cc but not exceeding 250cc.
8712.00.00 Bicycles and other cycles (including delivery tricycles), not
motorised.
79 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
8713.10.00 Invalid carriages, not motorised, nor mechanically propelled.
8713.90.00 Other invalid carriages motorised or otherwise mechanically
propelled.
8714.20.00 Parts of invalid carriages.
9001.30.00 Contact lenses.
9001.40.00 Spectacles lenses of glass.
9001.50.00 Spectacles lenses of other materials.
9002.11.00 Lenses for cameras, projectors or photographic enlargers or
reducers.
9004.90.10 Spectacles for correcting vision.
9006.30.00 Cameras specially designed for underwater use, for aerial survey
or for medical or surgical examination of internal organs;
comparison cameras for forensic or criminological purposes.
9006.53.00 Other cameras for roll film of a width of 35 mm.
9006.69.00 Other photographic flashlight apparatus and flash bulbs.
9006.91.00 Parts and accessories for cameras.
9010.50.00 Other apparatus and equipment for photographic (including
cinematographic) laboratories; negatoscopes.
9011.10.00 Stereoscopic microscopes.
9011.20.00 Other microscopes, for photomicrography, cinephoto-
micrography or microprojection.
9011.80.00 Other microscopes.
9011.90.00 Parts and accessories of compound optical microscopes,
including those for photomicrography, cinephoto-micrography or
micro-projection.
9012.10.00 Microscopes other than optical microscopes and diffraction
apparatus.
9012.90.00 Parts and accessories of diffraction apparatus and microscopes
other than optical microscopes.
9018.11.00 Electro-cardiographs.
9018.12.00 Ultrasonic scanning apparatus.
9018.13.00 Magnetic resonance imaging apparatus.
9018.14.00 Scientigraphic apparatus.
9018.19.00 Other electro-diagnostic apparatus (including apparatus for
functional exploratory examination or for checking physiological
parameters).
9018.20.00 Ultra-violet or infra-red ray apparatus.
9018.31.00 Syringes with or without needles.
9018.32.00 Tubular metal needles and needles for sutures.
9018.39.00 Catheters, cannulae and the like.
[Issue 1] 80
[Rev. 2012] CAP. 476
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
9018.41.00 Dental drill engines, whether or not combined on a single base
with other dental equipment.
9018.49.10 Dentists chairs incorporating dental equipment or any other
dental appliances classifiable in heading No. 90.18.
9018.49.00 Other instruments and appliances, used in dental sciences.
9018.50.00 Other ophthalmic instruments and appliances.
9018.90.00 Other instruments and appliances used in medical, surgical,
dental or veterinary sciences.
9019.20.00 Ozone therapy, oxygen therapy, aerosol therapy, artificial
respiration or other therapeutic respiration apparatus.
9020.00.00 Other breathing appliances and gas masks excluding protective
masks having neither mechanical parts nor replaceable filters.
9021.10.00 Orthopaedic or fracture appliances.
9021.21.00 Artificial teeth.
9021.29.00 Artificial dental fittings.
9021.31.00 Artificial joints.
9021.39.00 Other artificial parts of the body.
9021.40.00 Hearing aids, excluding parts and accessories.
9021.50.00 Pacemakers for stimulating heart muscles, excluding parts and
accessories.
9021.90.00 Other appliances which are worn or carried or implanted in the
body, to compensate for a defect or disability.
9022.12.00 Computed tomography apparatus.
9022.13.00 Other apparatus based on X-rays for dental uses.
9022.14.00 Other apparatus based on X-rays for medical, surgical or
veterinary uses.
9022.19.00 Apparatus based on the use of X-rays, for other uses, including
radiography or radiotherapy apparatus.
9022.21.00 Apparatus based on the use of alpha, beta or gamma radiations
for medical, surgical, dental or veterinary uses.
9022.29.00 Apparatus based on the use of alpha, beta or gamma radiations,
for other uses, including radiography or radiotherapy apparatus.
9022.30.00 X-ray tubes.
9022.90.00 Other X-ray generators, high tension generators, control panels
and desks, screens, examinations or treatment tables, chairs and
the like, including parts and accessories.
9402.90.10 Operating or examination tables, and hospital beds, fitted with
mechanical devices.
9406.00.10 Pre-fabricated green houses, cold rooms.
9507.10.00 Fishing rods.
81 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
FIFTH SCHEDULE—continued
Tariff No. Tariff Description
9507.20.00 Fish-hooks whether or not snelled.
9507.90.00 Other line-fishing tackle; fish landing nets, butterfly nets and
similar nets; decoy “birds” (other than those of heading 92.08 or
97.05) and similar hunting or shooting requisites.
[Issue 1] 82
[Rev. 2012] CAP. 476
Value Added Tax
FIFTH SCHEDULE—continued
21. Locally assembled water pumps.
22. Specialized solar equipment and accessories including deep cycle
sealed batteries which exclusively use and/or store solar power.
23. Locally assembled bodies for motor vehicles (buses) for the
transport of more than 25 persons.
24. Pyrethrum extract.
25. Ordinary bread, gluten bread and unleavened bread.
26. Locally produced and ginned cotton.
SIXTH SCHEDULE
[Section 27, Act No. 10 of 1990, Act No. 8 of 1991, Act No. 13 of 1995, s. 70;
Act No. 8 of 1996, s. 24; Act No. 5 of 1998, s. 27; Act No. 4 of 1999, s. 29; Act No. 9 of 2000, s. 37;
Act No. 7 of 2002, Act No. 4 of 2004, s. 42; Act No. 6 of 2005, s. 17, Act No. 10 of 2006, s. 13,
Act No. 9 of 2007, s. 16.]
83 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
3. (1) Any person who makes or intends to make taxable supplies of goods or
services to any other person or any person who exports or intends to export any
goods or taxable services may, notwithstanding that paragraph 1 does not apply
to him, apply in the prescribed manner to the Commissioner to be registered as a
registered person.
(2) Where the Commissioner is satisfied that the interests of the business of
an applicant under subparagraph (1) requires registration under paragraph 1, the
Commissioner shall duly register such person under such terms and conditions
as he thinks fit.
[Act No. 8 of 1996, s. 24, Act No. 4 of 2004, s. 42.]
[Issue 1] 84
[Rev. 2012] CAP. 476
Value Added Tax
10. (1) Every registered person shall display the certificate of registration and
any other from of identification as the Commissioner may require in a clearly
visible place or places in his business premises; and where the taxable person
has more than one place of business, certified copies of the certificate shall be
displayed at each of those places.
(2) Any person who does not display the certificate or other required forms of
identification in such form and in a clearly visible place as required under
subparagraph (1) shall be liable to a default penalty of twenty thousand shillings
and, in addition, shall be guilty of an offence and liable to a fine not exceeding
two hundred thousand shillings or to imprisonment for a term not exceeding two
years or to both.
[Act No. 13 of 1995, s. 70.]
11. Any person who applies for registration after the time limit allowed under
paragraph 1 shall be liable to a default penalty of twenty thousand shillings.
[Act No. 13 of 1995, s. 70.]
12. Any person who is registered under subparagraph (a) of paragraph 22 shall
be liable to a default penalty of one hundred thousand shillings.
[Act No. 13 of 1995, s. 70.]
85 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
15. Where a person ceases to make taxable supplies he shall, without delay,
notify the Commissioner of the date of cessation and shall furnish to the
Commissioner, a return showing details of—
(a) materials and other goods in stock and their value and shall pay any
tax due hereon; and
(b) all other taxable assets and their value,
within thirty days from the date on which he ceased to make such supplies.
[Act No. 6 of 2005, s. 17(b).]
16. Where the value of taxable supplies made by a registered person in any
period of twelve months is less than five million shillings, the registered person
shall notify the Commissioner of the values of his supplies and shall be subject to
the provisions of the turnover tax under section 12C of the Income Tax Act
(Cap. 470).
[Act No. 12 of 1995, s. 70, Act No. 4 of 1999, s. 29, Act No. 10 of 2006, s. 13(b),
Act No. 9 of 2007, s. 16(b).]
19. The registered person shall notify details to the Commissioner within
fourteen days of any of the following changes occurring—
(a) whenever the address of the place of business is changed; or
(b) additional premises are used, or will be used, for purposes of the
business; or
(c) premises used for the business cease to be so used; or
[Issue 1] 86
[Rev. 2012] CAP. 476
Value Added Tax
87 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
SEVENTH SCHEDULE
[Sections 28, Act No. 9 of 1992, s. 32, Act No. 4 of 1993, s. 32, Act No. 13 of 1995, s. 71,
Act No. 8 of 1996, s. 25, Act No. 5 of 1998, s. 28, Act No. 4 of 1999, s. 30,
Act No. 9 of 2000, s. 38, Act No. 4 of 2004, s. 43, Act No. 6 of 2005, s. 18,
Act No. 10 of 2006, s. 14, Act No. 8 of 2009, s. 15, Act No. 4 of 2012, s. 7.]
5. (1) Any person who fails to comply with the requirements of paragraph 1
shall be guilty of an offence and any goods in connection with which the offence
was committed shall be liable to forfeiture.
(2) Notwithstanding the provisions of subparagraph (1), any person who fails
to comply with the provisions of paragraph 1 shall be liable to pay a default
penalty of not less than ten thousand shillings but not exceeding two hundred
thousand shillings.
[Act No. 13 of 1995, s. 71, Act No. 4 of 1999, s. 30.]
[Issue 1] 88
[Rev. 2012] CAP. 476
Value Added Tax
6. (1) Every taxable person shall, in accordance with the regulations, keep full and
true records written up-to-date of all transactions which may affect his tax liability.
(2) Any person who fails to keep records as prescribed under subparagraph
(1) shall be liable to pay a default penalty of not less than ten thousand shillings
but not exceeding two hundred thousand shillings.
(3) Every person required by subparagraph (1) to keep records shall at all
reasonable times make them available to an authorized officer and shall give the
officer every facility necessary to inspect the records.
(4) Any person who contravenes subparagraph (3) shall be guilty of an offence.
(5) For the purposes of this paragraph, the Commissioner may, in
accordance with the regulations, require any person to use a General Packet
Radio Service (GPRS) enabled electronic tax register of such type and
description as may be prescribed, for the purpose of accessing information
regarding any matter or transaction which may affect the tax liability of such
person.
(6) A person to whom subparagraph (5) applies shall be entitled, with the
prior approval of the Commissioner, to recover the cost of the electronic tax
register from the tax payable by such person:
Provided that this subparagraph shall only apply to electronic tax registers
acquired and installed on or before 31st December, 2006.
[Act No. 13 of 1995, s. 71, Act No. 4 of 2004, s. 43, Act No. 10 of 2006, s. 14, Act No. 4 of 2012, s. 7.]
7. Every registered person shall, not later than the twentieth day of each month,
submit to the Commissioner a return in the prescribed form—
(a) showing separately for each rate of tax particulars of the total value
of supplies, the rate of tax to which the supplies are liable and the
amount of tax payable, for any taxable supplies made by him during
the month immediately preceding that in which the return is made;
(b) showing separately for each rate of tax the total value of taxable
supplies, the tax rate at which tax was paid, and the amount of tax
paid in respect of which deductible input tax is claimed;
(c) if such be the case, stating that no such supplies were made or
received during the preceding month; and
(d) containing such other matters as may be prescribed.
9. (1) Where, in the opinion of the Commissioner, any person has failed to pay
any of the tax which has become payable by him under this Act by reason of—
(a) his failure to keep proper books of account, records or documents,
required under this Act, or the incorrectness or inadequacy of those
books of account, record, or documents; or
89 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
(b) his failure to make any return required under this Act, or delay in
making any such return or the incorrectness or inadequacy of any
such return; or
(c) his failure to apply for registration as a taxable person under this
Act,
the Commissioner may, on such evidence as may be available to him, assess
the amount of tax due and that amount of tax shall be due and payable forthwith
by the person liable to pay the tax:
Provided that the Commissioner may, in special cases referred to him by
an authorized officer, adjust or review the amount of tax assessed under this
paragraph in such manner as may be just and reasonable in the circumstances.
(2) Any registered person who fails to submit a return as required under
subparagraph (1) within the period allowed shall be liable to a penalty of ten
thousand shillings or five per cent of the tax due, whichever is the higher:
Provided that a registered person who submits a return within the period
allowed under paragraph 7 but fails to pay the tax as required under section 13
shall be liable to a default penalty of ten thousand shillings.
(2A) A registered person who fails to submit a return under paragraph 7(c)
shall be liable to a penalty of ten thousand shillings.
(3) The Commissioner may grant remission of a default penalty imposed
under paragraphs 5(2), 6(2) and 9(2) in individual cases where he is satisfied that
it is justifiable to do so and shall make quarterly reports to the Minister on each
remission so granted:
Provided that where the amount of the penalty exceeds five hundred
thousand shillings, the grant of remission shall be subject to the written approval
of the Minister.
[Act No. 5 of 1998, s. 28, Act No. 4 of 1999, s. 30, Act No. 9 of 2000, s. 38, Act No. 4 of 2004, s. 43.]
10. (1) Any appointed tax withholding agent who fails to—
(a) withhold and remit the tax as required under section 19A(2);
(b) issue a withholding tax certificate as required under regulation 3(b)
of the Value Added Tax (Tax Withholding) Regulations; or
(c) submit a return as required under the Value Added Tax (Tax
Withholding) Regulations,
shall be liable to a penalty of ten thousand shillings, or ten per cent of the tax
due, whichever is the higher.
(2) Any person who, not being a tax withholding agent, holds himself out as
such, shall be liable to a penalty of ten thousand shillings, or ten per cent of the
tax withheld, whichever is the higher.
[L.N. 53/2004, Act No. 6 of 2005, s. 18.]
[Issue 1] 90
[Rev. 2012] CAP. 476
Value Added Tax
EIGHTH SCHEDULE
[Section 8(2), [Act No. 10 of 1990, Sch., Act No. 8 of 1991, s. 49, Act No. 3 of 1992, s. 6,
Act No. 9 of 1992, s. 33, Act No. 8 of 1996, s. 26, Act No. 8 of 1997, s. 26, Act No. 5 of 1998, s. 29,
Act No. 4 of 1999, s. 31, Act No. 9 of 2000, s. 39, Act No. 6 of 2001, s. 41, Act No. 7 of 2002, s. 36,
Act No. 15 of 2003, s. 28, Act No. 4 of 2004, s. 44, Act No. 6 of 2005, s. 19(a),
Act No. 9 of 2007, s. 17, Act No. 4 of 2012, s. 8.]
1. The President
(2) Goods for the use of any of the armed forces of any allied power.
4. Diplomatic Privileges
(1) Goods for the official use of the United Nations or its specialized agencies
or any Commonwealth high commission or of any foreign embassy, consulate or
diplomatic mission.
(2) Goods for the use of a high official of the United Nations or its specialized
agencies or a member of the diplomatic staff of any Commonwealth or foreign
country, where specific provision for such zero-rated status is made by the
Minister responsible for Foreign Affairs.
(3) On first arrival in Kenya or within ninety days of the date of arrival, the
household and personal effects, including one motor vehicle, imported or
purchased by an employee of the United Nations or of its specialized agencies, a
Commonwealth high commission, or a foreign embassy, consulate or diplomatic
mission where the employee—
(a) is not engaged in any other business or profession in Kenya; and
(b) has not been granted a zero-rated status under item 5(1) and (2)
under this Part, or item 6(3) of Part B, of this Schedule.
91 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
5. Aid Agencies
(1) Household and personal effects of any kind including one motor vehicle
imported or purchased by entitled personnel or their dependants within ninety
days of their first arrival in Kenya, or such longer period, not exceeding three
hundred and sixty days from the date of arrival, as may be approved by the
Treasury in specific cases, where the entitled personnel and their dependants
have not been granted zero-rated status under item 4(3) of this Part, or item 6(3)
of Part B, of this Schedule:
Provided that this zero-rated status shall apply—
(i) to entitled personnel who may have arrived for a new contract for a
term of not less than two years notwithstanding their previous
residential status in Kenya while in execution of another aid project;
(ii) only once in every four years in respect of a motor vehicle where
there is an ongoing project;
(iii) to an additional motor vehicle where there is a bilateral agreement
between the Government and an aid agency entered into prior to the
10th June, 1999.
(2) One motor vehicle which the Commissioner is satisfied is imported or
purchased as replacement for a motor vehicle originally imported or purchased
under paragraph (1) which has been written off due to accident, fire or theft,
where the Minister’s written approval of such importation or purchase is obtained:
Provided that the tax shall be payable at the appropriate rate if the goods
referred to in paragraphs (1), (2) and (3) of this item are disposed of locally,
unless they are sold to persons or a body entitled to purchase such goods
without the payment of tax.
(3) Goods imported for official use of the Aid Agencies subject to approval by
the Treasury.
[Act No. 4 of 1999, s. 31, Act No. 6 of 2001, s. 41.]
9. Charitable Institutions
(1) Deleted by Act No. 9 of 2007, s. 17.
(2) Goods consigned to or purchased by the St. John Ambulance for use in
its activities and for first aid training.
[Issue 1] 92
[Rev. 2012] CAP. 476
Value Added Tax
(3) (a) Goods consigned to or purchased by the Kenya Red Cross for free
distribution in relief work, subject to such limitations and conditions as the
Commissioner may impose; and
(b) equipment, motor vehicles and aircraft donated for alleviation of
hardship or disaster, subject to such limitations and conditions as the
Commissioner may impose, provided the Treasury has given its approval in
writing where the tax exceeds Sh. 500,000.
(4) Articles or equipment not intended for resale and not including
consumable stores or provisions, for use by the Missions to Seamen or other
similar organizations approved for the purpose of this paragraph by the Minister,
subject to such limitations and conditions as the Commissioner may impose.
Badges and record books for use exclusively in the President’s Award
Scheme.
93 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
14. The Desert Locust Control Organization and International Red Locust
Control
(1) Goods, including motor vehicles, scientific equipment, apparatus,
chemicals, petroleum fuels and other materials imported or purchased by the
Desert Locust Control organization for East Africa for its official use or for the
personal use of such members of that Organization as may be declared to be
entitled officers by the Ministry responsible for Foreign Affairs.
(2) One motor vehicle imported or purchased within three months of first
arrival in Kenya by an entitled officer of the Desert Locust Control Organization
for his personal use.
(3) Goods imported or purchased for the official use of the International Red
Locust Control Organization for Central and Southern Africa.
15. The Navy, Army and Air Force Institute and the Armed Forces Canteen
Organization
Goods for the Navy, Army and Air Force Institute and the Armed Forces
Canteen Organization, subject to such limitations as the Commissioner may
specify, provided that such goods are marked with the inscription “NAAFI” or
“AFCO”, as the case may be, or where it is unsuitable to mark the goods, the
containers, bags or packets thereof shall be so marked.
[Issue 1] 94
[Rev. 2012] CAP. 476
Value Added Tax
95 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
(c) having been imported under conditions whereby they have been
zero-rated under this Schedule, or whereby remission or refund of
tax has been granted by the Minister, are purchased by a rally driver
resident in Kenya for use in the Safari Rally; and
(d) in the case of vehicles only, are assembled in Kenya and purchased
by a rally driver for use in the Safari Rally.
(2) Paragraph (1) shall apply to the following spare parts imported by a rally
driver for use in the Safari Rally—
(a) one engine assembly complete, or such individual parts making up
one engine as the rally driver requires, including, in either case, a
starter motor, alternator and clutch;
(b) one gear box assembly complete;
(c) one differential assembly and one front and rear axle assembly, or
such individual parts making up one front and rear axle assembly as
the rally driver requires;
(d) not more than four front suspension assemblies, or such individual
parts making up those assemblies as the rally driver requires;
(e) not more than two sets of rear shock absorbers;
(f) not more than twelve rally type rims; and
(g) not more than thirty rally tyres.
(3) Zero-rating under paragraph (1) is made on the conditions that—
(a) it applies only to motor vehicles and parts imported or purchased for
use by bona fide rally drivers resident in Kenya and recommended
by the Safari Rally Limited;
(b) deleted by Act No. 6 of 2001, s. 41.
(c) where the motor vehicles or parts cease to be used, or, in the case
of parts, to be assigned for use, for Safari Rally purposes, or are
disposed of in Kenya to persons not entitled to zero rating, or
remission of tax, tax shall, subject to paragraph(5), immediately
become payable at the appropriate rate.
(4) Nothing in paragraph (3)(a) or (c) shall prevent a motor vehicle or spare
parts from being used in other rallies in Kenya.
(5) Where a person to whom zero-rating or remission of tax has been granted
under this item fails to take part in the rally, tax shall become payable at the rate
applicable on the date the rally ends.
[Act No. 9 of 2000, Act No. 6 of 2001, s. 41, s. 39, Act No. 6 of 2005, s. 19.]
[Issue 1] 96
[Rev. 2012] CAP. 476
Value Added Tax
97 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
30. Kenya Military and Police Officers returning from United Nations
peace-keeping missions outside Kenya
One passenger motor vehicle (excluding buses and minibuses of a seating
capacity of more than 8 passengers and load carrying vehicles of a load carrying
capacity exceeding 1.5 tonnes) imported by a military or police officer returning
from a United Nations peace-keeping mission outside Kenya:
Provided that—
(a) the motor vehicle was purchased prior to the return of the officer into
the country;
(b) the exemption from tax liability shall not exceed the limits specified
in the table hereunder—
Maximum Tax
Category Military Officers Police Officers
exempted
Category I Private to Senior Constable to Senior KShs. 800,000/=
Sergeant Sergeant
Category II Warrant officer Inspector to Chief KShs. 1,200,000/=
to Captain Inspector
Category III Major to Full Superintendent to KShs. 1,500,000/=
Colonel Assistant Commissioner
Category IV Brigadier and Senior Assistant KShs. 2,000,000/=
above Commissioner and above
[Act No. 15 of 2003, s. 28.]
[Issue 1] 98
[Rev. 2012] CAP. 476
Value Added Tax
1. Aircraft Operations
(1) Any of the following goods which are imported or purchased for use by
any airline designated under an air service agreement between the Government
and a foreign Government—
(a) aircraft; parts and accessories thereof, including engines; air
navigational instruments; lighting, radio and radar apparatus and
equipment; equipment of a specialised nature for the repair,
maintenance and servicing of an aircraft; specialised aircraft loading
and unloading equipment; ground signs, stairways for boarding and
loading aircraft; catering stores;
(b) kerosene and aviation spirit solely for use in aircraft engines.
(2) Any of the following goods which are leased or imported or purchased for
use by an approved ground handler or caterer—
(a) equipment of a specialised nature for repairs, maintenance and
servicing of an aircraft;
(b) specialised aircraft loading and unloading equipment; and
(c) stairways for boarding and loading aircraft.
(3) Aircraft spare parts imported or purchased by aircraft operators or
persons involved in the business of aircraft maintenance:
Provided that such spare parts shall be imported or purchased on the
recommendation of the Director of Civil Aviation in such quantities and subject to
such conditions as the Commissioner may specify.
(4) Jet fuel (Kerosene type) purchased by an aircraft owner or operator for
use in an aircraft engine.
[Act No. 8 of 1997, s. 26, Act No. 5 of 1998, s. 29, Act No. 9 of 2007, s. 17.]
99 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
[Issue 1] 100
[Rev. 2012] CAP. 476
Value Added Tax
101 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
10. Materials and Equipment for use in the Construction of Tourist Hotels
Financed from External Sources
All materials and equipment, excluding vehicles, the importation of which is
approved by the Permanent Secretary to the Treasury, for use in the construction
of a tourist hotel financed from external sources, subject to the production of
such evidence as the Commissioner may require as to the quantity, quality and
type of goods required for the project.
[Act No. 9 of 2000, s. 39.]
[Issue 1] 102
[Rev. 2012] CAP. 476
Value Added Tax
15. Containers
(1) Imported containers specially designed for repetitive use, printed or
inscribed with the name of a foreign buyer of Kenyan produce, for packing and
exporting Kenyan produce.
(2) Imported containers which the Commissioner, on the recommendation of
the Director of Veterinary Services, is satisfied are specially designed for storing
semen for artificial insemination.
[Act No. 8 of 1996, Act No. 9 of 2000, s. 39.]
103 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
27. Electrical energy imported for distribution into the national grid
[Act No. 15 of 2003, s. 28.]
PART D
Repealed by Act No. 9 of 2000, s. 39.
[Issue 1] 104
[Rev. 2012] CAP. 476
Value Added Tax
NINTH SCHEDULE
[Section 3(6), Act No. 10 of 1990, s. 33.]
DECLARATION BY OFFICER
I ........................................, do declare that I will be true and faithful to the best
of my knowledge and power in the execution of the trust committed to my charge
and inspection in the service of the Value Added Tax Department, and that I will
not acquire, take or receive any fee, perquisite, gratuity or reward whether
pecuniary or of any sort of description whatever, either directly or indirectly, for
any service, act, duty, matter or thing done or performed, or to be done or
performed, in the execution or discharge of any of the duties of my office or
employment on any account whatsoever, other than my salary and what is, or
may be, allowed me by law or by a special order of the Government.
105 [Issue 1]
[Rev. 2012] CAP. 476
Value Added Tax
[Subsidiary]
CHAPTER 476
SUBSIDIARY LEGISLATION
107 [Issue 1]
[Rev. 2012] CAP. 476
Value Added Tax
[Subsidiary]
ARRANGEMENT OF REGULATIONS
Regulation
1. Citation.
2. Interpretation.
3. Distraint agents.
4. Distraint agent to furnish security.
5. Execution of orders.
6. Service of orders.
7. Forceable entry.
8. Steps subsequent to attachment.
9. Limitation on sale of attached goods.
10. Return on completion of sale.
11. Restoration of attached goods on payment, etc.
12. Livestock.
13. Costs for levying distress.
14. Remuneration of distraint agents.
15. Commission payable to auctioneer.
16. Matters included in rates of remuneration.
SCHEDULE – RATES OF REMUNERATION
109 [Issue 1]
CAP. 476 [Rev. 2012]
Value Added Tax
[Subsidiary]
1. Citation
These Regulations may be cited as the Value Added Tax (Distraint) Regulations,
1990.
2. Interpretation
In these Regulations, unless the context otherwise requires—
“distrainee” means the registered person or debtor named in an order;
“distrainor” means an officer in the service of the Value Added Tax Department
who is authorized to levy distress;
“distraint agent” means a person appointed as such under regulation 3;
“distress” means a distress levied pursuant to an order;
“distress debt” means the amount of tax, and interest charge thereon, specified
in the order;
“goods” means all movable property of distrainee (other that growing crops and
goods which are liable to perish within ten days of attachment) which is liable under
the law to attachment and sale in execution of a decree of a court.
“order” means an order issued by the Commissioner under section 18(1) of the
Act.
3. Distraint agents
(1) An authorized officer may appoint distraint agents to assist him in the execution of
orders.
(2) No person shall be appointed a distraint agent unless he satisfies the authorized
officer that he—
(a) is of good repute and of good financial standing;
(b) is qualified under the Law relating thereto to levy distress by way of
attachment of movable property in execution of a decree of a court; and
(c) has contracted a policy of insurance in an adequate sum against theft,
damage or destruction by fire of goods which may be placed in his custody
by reason of the performance of his duties as a distraint agent.
[Issue 1] 110
[Rev. 2012] CAP. 476
Value Added Tax
[Subsidiary]
5. Execution of orders
(1) An order may be executed at any time after it has been duly served on the
distrainee in the manner provided by regulation 6.
(2) An order shall be executed by attachment of such goods of the distrainee as in the
opinion of the distrainor are of a value which on sale by public auction, would realize a
sum sufficient to meet the distress debt and the costs and expenses of the distress
incurred by the distrainor.
6. Service of orders
(1) Every order shall be issued by the Commissioner in duplicate and service thereof
shall be effected by service by the distrainor of a copy of the order on the distrainee in
person or, if after using all due and reasonable diligence the distrainee cannot be found,
by service of a copy on an agent of the distrainee empowered to accept service or an
adult member of the family of the distrainee who is residing with him.
(2) A person served with a copy of an order under this regulation shall endorse on the
order acknowledgement of service, and if he refuses to make endorsement the distrainor
shall leave the copy of the order with the person or his agent after stating in writing
thereon that the person or his agent upon whom he served the order refused to sign the
acknowledgement and that he left at the time, date and place stated therein, a copy of the
order with that person and the name and address of the person (if any) by whom the
person on whom the order was served was identified, and thereupon the order shall be
deemed to have been duly served.
[L.N. 123/1996, r. 2.]
7. Forceable entry
(1) In executing any distress, no outer door of a dwelling-house shall be broken open
unless the dwelling-house is in the occupancy of the distrainee and he refuses or in any
way prevents access thereto, but when the distrainor executing distress has duly gained
access to a dwelling-house he may break open the door of any room in which he has
reason to believe any goods of the distrainee to be.
(2) When a room in a dwelling-house is in the actual occupancy of a woman who,
according to her religion or local custom does not appear in public the distrainor shall give
notice to her that she is at liberty to withdraw; and after allowing reasonable time for her to
withdraw and giving her reasonable facility for withdrawing, he may enter the room for the
purpose of attaching any goods therein, using at the time every precaution consistent with
these provisions to prevent their clandestine removal.
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exceeding the distress debt and the costs and expenses incurred by the distrainor, and
thereupon any of the goods remaining unsold shall at the cost of the distrainee be
restored to the distrainee.
12. Livestock
Where any goods attached under these Regulations comprise or include livestock, the
distrainor may make appropriate arrangements for the transport, safe custody and feeding
thereof and any costs and expenses incurred by the distrainor thereby be recoverable
from the distrainee under regulation 9 or 11, as the case may be, as costs and expenses.
[L.N. 123/1996, r. 2.]
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SCHEDULE
[Rule 16.]
RATES OF REMUNERATION
1. Distrainor’s Charges
Where no distress is levied and the distress debt and any costs and expenses
incurred by the distrainor are paid by the distrainee on demand or within thirty
minutes thereafter the distrainee shall pay the distrainor the following costs—
(a) where the distress debt does not exceed Sh. 3,000 ..................................... Sh. 120
(b) where the distress debt exceeds Sh. 3,000 .................................................. Sh. 300
2. Distraint Agent’s Charges
(a) Where no distress is levied and the distress debt and any costs and
expenses incurred by the distrainor are paid by the distrainee on demand or
within thirty minutes thereafter the distraint agent shall be entitled to
remuneration of ............................................................................................ Sh. 120
(b) For attaching goods or attaching and keeping possession thereof for ten
days or part thereof, when the estimated value of the property, or the
distress debt and costs and expenses, whichever is less—
(i) does not exceed Sh. 30,000 ................................................................. 4 per cent
thereof
(ii) exceeds Sh. 30,000 .............................................................................. 3 per cent
thereof
(c) Where the goods or any part thereof are sold by public auction, the distraint
agent’s charges shall instead be calculated in the manner directed above by
reference to the total amount realized on sale after deduction of the
auctioneer’s commission under regulation 15.
(d) For keeping possession of any attached goods after the expiration of ten
days from the date of attachment for each day, or part thereof—
¼ per cent of the value of the goods with a maximum of Sh. 60.
(e) Reasonable expenses incurred by the distraint agent in transporting goods
attached, and such travelling expenses by car, or a rateable proportion
thereof, as the Commissioner may approve.
113 [Issue 1]
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ARRANGEMENT OF RULES
Rule
1. Citation.
2. Interpretation.
3. Appointment of secretary.
4. Form and time for lodging an appeal.
5. Memorandum of appeal.
6. Statement of facts of Commissioner.
7. Service of memorandum of appeal.
8. Statement of facts of Commissioner.
9. Notice and place of hearing.
10. Procedure at hearing of appeal.
11. Tribunal to determine own procedure in certain matters.
12. Copies of documents admissible.
13. Fees and costs.
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1. Citation
These Rules may be cited as the Value Added Tax (Tribunal) Rules, 1990.
2. Interpretation
In these Rules, unless the context otherwise requires—
“appeal” means an appeal to the Tribunal under section 33(1);
“appellant” means a person entering an appeal and the advocate or duly
authorized agent of that person;
“chairman” means the chairman of the Tribunal appointed under section 32(2);
“memorandum” means a memorandum of appeal presented under rule 4;
“secretary” means the secretary to the Tribunal appointed pursuant to rule 3;
“section” means a section of the Act.
[L.N. 71/2000, r. 2.]
3. Appointment of secretary
(1) The Commissioner shall appoint a person to be the secretary to the Tribunal, and
that person may be an officer of the Value Added Tax Department.
(2) The secretary shall, in matters relating to appeals to the Tribunal and procedure
therefor, comply with general and special directions lawfully given by the chairman.
(3) The secretary shall by notice in the Gazette notify his address for the presentation
or service of documents for the purposes of these Rules, and shall in the same manner
notify any change in that address.
5. Memorandum of appeal
A memorandum shall be signed by the appellant and shall set out concisely under
distinct heads, numbered consecutively, the grounds of appeal without argument or
narrative.
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(c) a statement, signed by the appellant, setting out precisely all the facts on
which the appeal is based and referring specifically to documentary or other
evidence which it is proposed to adduce at the hearing of the appeal, and to
which shall be annexed a copy of each document or extract from a
document upon which the appellant proposes to rely as evidence at the
hearing of the appeal.
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(c) at the conclusion of the statement, and evidence on behalf of the appellant,
the Commissioner may make submissions, supported by relevant evidence,
and subparagraph (b) shall mutatis mutandis apply to evidence of facts and
documents to be adduced by the Commissioner;
(d) the appellant shall be entitled to reply but may not raise a new issue or
argument;
(e) the chairman or a member of the Tribunal may at any stage of the hearing
ask any questions of the appellant or the Commissioner or a witness
examined at the hearing, which he considers necessary to the
determination of the appeal;
(f) a witness called and examined by either party may be cross-examined by
the other party to the appeal;
(g) a witness called and examined by the Tribunal may be cross-examined by
either party to the appeal;
(h) the Tribunal may adjourn the hearing of the appeal for the production of
further evidence or for other good cause, as it considers necessary, on such
terms as it may determine;
(i) before the Tribunal considers its decision, the parties to the appeal shall
withdraw from the meeting, and the Tribunal shall deliberate the issue
according to law and reach its decision thereon;
(j) the decision of the Tribunal shall be determined by a majority of the
members present and voting at the meeting, and in the case of an equality
of votes the chairman shall have a casting vote in addition to his deliberative
vote;
(k) minutes of the meeting shall be kept and the decision of the Tribunal
recorded therein.
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ARRANGEMENT OF REGULATIONS
Regulation
1. Citation and commencement.
2. Interpretation.
3. Application for registration.
4. Tax invoice.
5. Simplified tax invoice.
5A. Waiver.
6. Credit note and debit note.
7. Records to be kept by taxable persons.
8. Samples of taxable goods.
9. VAT returns and payments by cheque.
10. Export of taxable goods and services
11. Application for tax refund.
12. Claims for tax refund.
13. Tax paid on stocks on hand, assets, building, etc.
13A. Auditor Certificate.
14. Security.
15. Powers of Commissioner of Customs.
15A. Declaration of imported taxable services.
16. Determination of selling price.
17. Deductible input tax.
18. Sale of taxable goods in returnable containers.
19. Prices of taxable goods or services to unregistered persons.
19A. Deleted.
20. Services supplied in Kenya.
21. Revocation of L.N. 400/1989.
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2. Interpretation
In these Regulations, unless the context otherwise requires—
“personal identification number” means the personal identification number
required under section 132 of the Income Tax Act (Cap. 470).
“register” means an electronic tax register referred to in paragraph 6(5) of the
Seventh Schedule to the Act and includes an electronic tax printer and a special
secure fiscal device for record signing;
[L.N. 49/2005, r. 2.]
4. Tax invoice
(1) The tax invoice to be issued under paragraph 1 of the Seventh Schedule to the Act
shall be serially numbered and—
(a) generated through a register; or
(b) attached to a register receipt containing details of all transactions.
(2) The tax invoice shall include the following information—
(a) the name, address and personal identification number of the person making
the supply;
(b) the serial number of the invoice;
(c) the date of the invoice;
(d) the date of the supply, if different from that given under sub-paragraph (c);
(e) the name and address, if any, and Personal Identification Number of the
person to whom the supply was made, if known to the supplier;
(f) the description, quantity and price of the goods or services being supplied;
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(g) the taxable value of the goods or services, if different from the price
charged;
(h) the rate and amount of tax charged on each of those goods and services;
(i) details of whether the supply is a cash or credit sale and details of cash or
other discounts, if any, that apply to the supply;
(j) the total value of the supply and the total amount of VAT charged.
(k) the logo of the business of the person issuing the invoice; and
(l) the identification number of the register.
[L.N. 70/1998, r. 2, L.N. 165/1999, r. 2, L.N. 49/2005, r. 3, L.N. 54/2006, r. 2,
L.N. 95/2009, r. 3.]
5A. Waiver
The Commissioner may, for any purpose relating to value added tax, if satisfied that
reasonable grounds exist so to do, waive the application to any of the provisions of
regulations 4(1) and 5(1), in respect of any period commencing the 15th June, 2006 and
terminating 31st December, 2006, both days inclusive.
[L.N. 37/2007, r. 2.]
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(2) Where a credit note is issued under this regulation it shall be serially numbered
and shall include details of the name, address, registration number and personal
identification number of the person to whom it is issued and sufficient details to identify the
tax invoice on which the supply was made and the tax that was originally charged.
(3) A registered person who issues a credit note under the conditions specified in this
regulation may reduce the amount of his output tax in the month in which the credit note
was issued by an amount that bears the same proportion to the tax originally charged as
the amount credited bears to the total amount originally charged and the amount of tax so
credited shall be specified on the credit note.
(4) A registered person who receives a credit note for the supply in respect of which
he has claimed deductible input tax, shall reduce the amount of deductible input tax in the
month in which the credit note is received, by the amount of tax so credited.
(5) Where a registered person has issued a tax invoice in respect of a taxable supply
and subsequently makes a further charge in respect of that supply, or any transaction
associated with that supply, he shall in respect of the further charge being made, issue
either a further tax invoice, or a serially numbered debit note containing all the details
specified in regulation 4, and shall show on it the details of the tax invoice issued at the
time of the original supply.
(6) A registered person who receives a further tax invoice or a debit note issued in
compliance with paragraph (5) may, if the supply is eligible therefor and in so far as it has
not previously been claimed, claim as deductible input tax such further amount of tax that
is being charged, in the month in which the further charge was made, or in the next
subsequent month.
[L.N. 70/1998, r. 4, L.N. 165/1999, r. 2, L.N. 52/2004, s. 2, L.N. 95/2009, r. 5.]
[Issue 1] 122
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by the taxable person to safeguard the tax revenue, he shall issue a notice to the taxable
person requiring him to keep such records or take such action as the Commissioner may
specify and any person failing to comply with such notice shall be guilty of an offence.
(4) Where a notice issued under sub-paragraph (3) is not complied with and without
prejudice to any other action that he may take, the Commissioner may, from such
information as is available to him, assess the amount of tax that he considers to be due
from the taxable person during each period that the offence continues.
(5) All records required to be kept under this regulation shall be maintained up-to-date
and details of all tax charged shall be entered in the appropriate records without delay.
(6) All records shall be kept in the Kiswahili or English language and shall be kept for
a period of five years from the date of the last entry made therein.
(7) Where records relating to a business are being kept in any language other than
those prescribed, the Commissioner may require a registered person to produce, at that
person’s expense, an authenticated translation of those records.
[L.N. 121/1996, r. 2, L.N. 70/1998, r. 5, L.N. 96/2001, r. 2, L.N. 176/2001, r. 2.]
123 [Issue 1]
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(b) in the case of goods, copies of the bill of lading, road manifest or airway bill,
as the case may be; and
(c) in the case of goods, the export entry duly certified by the proper officer of
Customs at the port of export is maintained on file by the registered person
for examination by an authorised officer on demand; and
(d) in the case of sugar and all excisable goods, a certificate signed by the
Commissioner of Customs that the goods have been examined and loaded
into sealable vehicles or containers under a tamper proof seal and the seal
number duly endorsed on the export entry.
(2) Subject to section 8 of the Act and the Fifth Schedule to the Act, any taxable
goods or taxable services supplied by a registered person to a registered person
manufacturing goods in a customs bonded factory for export, or to any person or
organization as specified in the Eighth Schedule to the Act shall be zero rated if evidence
of the supply consisting of—
(a) a copy of the invoice showing the supply of the goods or services to the
purchaser;
(b) proof of the payment made in respect of the goods or services supplied;
(c) a certificate signed by the purchaser that the goods have been received;
and
(d) in the case of goods, the export entry duly certified by the proper officer of
Customs at the port of export,
is maintained on the file by the registered person for examination by an authorized officer
on demand.
(2A) Where taxable goods are manufactured or purchased for export, supplied to an
export processing zone enterprises, or to a registered person manufacturing goods in a
customs bonded factory or are subject to remission, rebate or refund of value added tax,
such goods as may be specified by the Commissioner shall be marked with the inscription
“FOR EXPORT ONLY”.
(2B) Deleted by L.N. 81/2010, r. 2.
(3) Subject to paragraph (4), where an exporter who is not a registered person exports
by way of business any taxable goods that he has imported or purchased from a
registered person and claims a refund of the tax paid on those goods he shall submit his
claim to the Commissioner on Form VAT 4 and shall attach to any such claim, the
following—
(a) a copy of the invoice showing the sale of the goods to the purchaser; and
(b) the export entry duly certified by the proper officer of customs at the port of
export; and
(c) evidence of the value of the goods and the payment by him of tax due
thereon, being a copy of the tax invoice issued by a registered person, or a
copy of the customs entry on which the goods were imported, as the case
may be; and
(d) proof of payment made in respect of goods exported;
(e) in the in the case of sugar, a certificate signed by the Commissioner of
Customs that the sugar has been examined and loaded into sealable
vehicles or containers under a tamper proof seal and the seal number duly
endorsed on the export entry.
(4) The Commissioner shall not issue a tax remission certificate referred to in Form
VAT 4B unless the application is accompanied by—
(a) bond security on Form VAT 4 B1 duly executed and guaranteed by a bank,
insurance company or financial institution licensed to operate in Kenya; and
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(b) an irrevocable letter of credit and proof of payment made in respect of the
exported goods; or
(c) a pro forma invoice from the registered manufacturer or dealer.
(5) A VAT remission certificate issued under paragraph (4) shall be valid for ninety
days only from the date of issue.
(6) Upon completion of exportation, the exporter shall resubmit to the Commissioner
within ninety days from the date of issue, the duplicate copy of the VAT remission
certificate supported by documentary evidence of exportation of the goods.
(7) A bond security provided under subregulation (4)(a) shall be cancelled upon the
exporter satisfying the Commissioner—
(a) that the goods have been duly exported;
(b) that appropriate payment in respect of the exported goods has been
received by him.
(8) Where an exporter fails to comply with the provisions of paragraph (6) and (7), the
appropriate tax shall be payable in full forthwith together with a penalty of two per cent per
month or part thereof calculated from the date of issue of the tax remission certificate by
the Commissioner under paragraph (4):
Provided that the Commissioner may, in individual cases grant remission of the
penalty if satisfied that such remission is justified and shall make quarterly returns to the
Minister of all remissions so granted but such remission shall be subject to the prior
written approval of the Minister where the amount of the penalty exceeds five hundred
thousand shillings.
(9) No refund shall be made under this regulation—
(a) where the amount to be refunded is less than five hundred shillings; or
(b) where the exportation took place more than twelve calendar months
previously or such further period as the Commissioner may in any particular
case determine.
(10) Zero-rating of exported goods or refund of tax paid shall not be allowed under this
regulation in respect of any goods which have been used before they were exported.
(11) Where the Commissioner considers that there is doubt about the exportation of
any goods he may require any person exporting the goods to produce to him within a
reasonable time a certificate, signed and stamped by a competent customs authority
outside Kenya, that the goods were duly landed and reported to the proper customs
authority at the port or place of foreign destination, and payment of any claim may be
deferred until such a certificate has been produced and accepted as satisfactory by the
Commissioner.
(12) Where a person who is not a registered person supplies by way of business any
taxable goods that he has imported or purchased from a registered person to an export
processing zone or to a foreign aid funded investment project or to a person
manufacturing goods in a customs bonded factory, and claims a refund of the tax paid on
those goods he shall submit his claim to the commissioner on Form VAT 4 and shall
attach to any such claim, the following—
(a) a copy of the invoice showing the sale of the goods to the purchaser; and
(b) evidence of the value of the goods and the payment by him of tax due
thereon, being a copy of the tax invoice issued by a registered person or a
copy of the Customs entry on which the goods were imported, as the case
may be; and
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(c) a certificate signed by the purchaser that the goods have been received and
that they have been purchased as part of a specified project or in
accordance with the approved operations of the export processing zone, as
the case may be.
[L.N. 213/1995, r. 2, L.N. 121/1996, r. 4, L.N. 42/1997, r. 2, L.N. 100/1997, r. 2, L.N. 122/1997, r. 2,
L.N. 70/1998, r. 6, L.N. 67/1999, r. 2, L.N. 96/2001, r. 3, L.N. 94/2002, r. 2, L.N. 49/2005, r. 5,
L.N. 95/2009, r. 6, L.N. 81/2010.]
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(2) An auditor who issues a certificate in contravention of paragraph (1) shall be guilty
of an offence.
[L.N. 544/1997, r. 2, L.N. 70/1998, r. 7, L.N. 95/2009, r. 7.]
14. Security
(1) A security required by the Commissioner under section 29 of the Act shall be in
such sum not exceeding the total tax payable and, unless the person from whom the
security is required opts to deposit the required sum or equivalent securities with the
Commissioner, shall take the form of a bond in such form, and given by such sureties, as
the Commissioner may approve.
(2) Where a bond given under this regulation is discharged, the Commissioner shall
cause the bond to be cancelled and shall advise the person giving it accordingly.
(3) Where any person who is a surety to a bond under this regulation—
(a) dies; or
(b) is adjudged bankrupt or enters into any composition with his creditors; or
(c) leaves Kenya,
the person on whose behalf the bond was given shall notify the Commissioner accordingly
and the Commissioner may cancel the bond and require a fresh surety to be given.
15. Powers of Commissioner of Customs
By virtue of section 57 of the Act—
(a) the Commissioner appointed under the Kenya Revenue Authority Act
(Cap. 469) shall be responsible for the collection of tax chargeable in
respect of imported taxable goods and shall account for that tax to the
Commissioner; and
(b) the Commissioner and other proper officers of Customs appointed under
the Kenya Revenue Authority Act (Cap. 469) shall, subject to the Act and
the East African Community Customs Management Act, 2004 (No. 8 of
2004), have and exercise in respect of imported taxable goods all the
powers and duties conferred or imposed on them by the East African
Community Customs Management Act, 2004.
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(b) (i) full deduction of all the input tax attributable to taxable goods
purchased and sold in the same state;
(ii) no deduction of any input tax which is directly attributable to exempt
outputs, and
(iii) deduction of the input tax attributable to the remainder of the taxable
supplies, calculated as under subparagraph (a).
(2) Notwithstanding paragraph (1) where the amount of input tax attributable to
exempt supplies is less than five per cent of the total input tax, then all the input tax can
be deducted.
(3) Where there is a difference between the amount of claimable input tax for a year
and the total amount deducted for the same period, the amount so calculated shall be
declared as over declaration or under declaration, as the case may be, and such amount
shall be entered in the return for the first tax period following the end of the accounting
year.
[L.N. 121/1996, r. 6, L.N. 94/2002, r. 3.]
19. (a) Where a registered person is a retailer or is primarily supplying taxable goods or
taxable services to unregistered persons, prices of such goods or services shall be quoted
or labelled including the amount of the tax.
(b) Where prices are quoted inclusive of tax, the value of the tax shall be
estimated in the case of ad valorem tax rate by a tax that is multiplied by such a tax
inclusive price reduced by any exclusion from the taxable value allowed under section 9 of
the Act. The tax factor is equal to (t/(1+t)) where t is the ad valorem tax rate specified in
the First Schedule to the Act.
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21. Revocation of L.N. 400/1989
The Value Added Tax Regulations are revoked.
SCHEDULE
FORM VAT 7
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1. This Order may be cited as the Value Added Tax Order, 2002 and shall come into
operation on the 14th June, 2002.
2. Any tax payable on the goods and services specified in the Schedule shall be
excluded from deduction of input tax under sections 11 and 11A of the Act except where
the goods are purchased as stock-in-trade.
3. The Value Added Tax Order, 1997 (L.N. 545/1997, Sub. Leg) is revoked.
SCHEDULE
[Paragraph 2.]
1. All oils for use in vehicles (including motor-vehicles and similar vehicles), ships, boats
and other vessels.
[L.N. 68/2003, s. 2.]
2. (1) Passenger cars and minibuses, bodies, parts and services for the repair and
maintenance of such vehicles and the leasing or hiring services of such vehicles other
than—
(a) goods and services used in the supply of passenger car and minibus hire and
leasing services;
(b) bodies, parts and repair and maintenance services, used in the supply of
repair and maintenance services for passenger cars and minibuses; and
(c) passenger car and minibus parts used in the manufacture or repair and
maintenance of taxable goods;
(d) vehicles specifically designed or modified and primarily used for the supply of
taxable goods or services, subject to prior approval by the Commissioner.
(2) All motor vehicles (other than passenger cars and minibuses), bodies, parts and
services for the repair and maintenance of such vehicles, except where the goods are
used primarily for the supply of taxable goods and services.
(3) For the purposes of this Order, “motor vehicle” means a self propelled vehicle
intended for use on roads but does not include a tractor.
5. Entertainment services.
6. Restaurant services.
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SCHEDULE—continued
7. Accommodation services.
8. Taxable supplies for use in staff housing and similar establishments for the welfare of
staff.
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1. This Order may be cited as the Value Added Tax (Remission) (Official Aid Funded
Projects) Order, 2003 and shall come into operation on the 13th June, 2003.
2. The whole of the tax payable on taxable services, materials and equipment, including
vehicles, which the Commissioner is satisfied are for use in the construction, equipping or
execution of an aid funded project, to be, or in the process of being carried out pursuant to
an agreement between the Government and a foreign government, or a foreign or
international agency, institution, foundation or organization, supplying or making available
aid funds, materials or equipment (in this Order referred to as “the aid agency”) is remitted
subject to the conditions set out in paragraph 3.
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5. Notwithstanding the provisions of paragraph 2, tax shall become payable if goods
which are the subject of this Order are used or disposed of in a manner inconsistent with
the purpose for which the remission is granted.
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ARRANGEMENT OF REGULATIONS
Regulation
1. Citation.
2. Application for remission.
3. Minister may require further information, inspection.
4. Only one application per investment.
5. Remission not for certain goods.
6. Condition relating to inspection, etc.
7. Further conditions to remission.
8. Revocation of remission.
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1. Citation
These Regulations may be cited as the Value Added Tax (Remission) (Investments)
Regulations, 2004 and shall come into operation on the 10th June, 2004.
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(b) avail to the Commissioner the records of such goods for purposes of
inspection and audit.
8. Revocation of remission
The Minister may revoke a remission if any condition set out in regulation 6 or attached
under regulation 7 is breached.
137 [Issue 1]
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ARRANGEMENT OF REGULATIONS
Regulation
1. Citation and commencement.
2. Interpretation.
3. Records, acknowledgement of payment.
4. Where no tax is withheld for a period.
5. Supplier to issue invoice.
6. Suppliers still to file returns.
7. Inspection of records.
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2. Interpretation
In these Regulations, unless the context otherwise requires—
“supplier” means a person who receives a payment for taxable supplies from a
tax withholding agent;
“tax withholding agent” means a person who has been appointed as such under
section 19A of the Act.
7. Inspection of records
For the purposes of obtaining full information in respect of accounting for tax withheld,
the Commissioner may require any person—
(a) to produce for examination, at such time and place as the Commissioner
may specify, records, books of accounts, documents and other records
relating to the calculation or withholding of tax in respect of any period
specified by the Commissioner;
(b) to attend at such time and place as the Commissioner may specify, for the
purpose of being questioned, in respect of any matter or transaction
appearing to be relevant to the tax liability of any person.
[Issue 1] 140
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[Subsidiary]
ARRANGEMENT OF REGULATIONS
Regulation
1. Citation and commencement.
2. Interpretation.
3. Application.
4. Prescribed type and description of register.
5. Use of register, etc.
6 User to prepare daily, monthly and annual reports.
7 User to ensure correct operation of register, etc.
8. Register ledger.
9. Penalty.
SCHEDULES
FIRST SCHEDULE – TECHNICAL REQUIREMENTS FOR A REGISTER
SECOND SCHEDULE – INFORMATION TO BE CONTAINED IN A RECEIPT
PRINTED FROM A REGISTER
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2. Interpretation
In these Regulations, unless the context otherwise requires—
“register” means an electronic tax register referred to in paragraph 6(5) of the
Seventh Schedule to the Act and includes an electronic tax printer and a special
secure fiscal device for record signing;
“user of a register” means any person required, under paragraph 6(5) of the
Seventh Schedule to the Act, to use a register.
[Corr. No. 66/2004, L.N. 50/2005, r. 2.]
3. Application
(1) These Regulations apply to persons who are required, under paragraph 6(5) of the
Seventh Schedule to the Act, to use a register.
(2) A user of a register shall use the register as required and in accordance with these
Regulations.
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6. User to prepare daily, monthly and annual reports
A user of a register shall prepare daily, monthly and annual reports, which reports shall
set out—
(i) the date of the report and the period in respect of which it applies;
(ii) the name and address of the user of the register;
(iii) the VAT identification number of the user of the register;
(iv) the unique identification number of the register obtained under
regulation 5(b);
(v) the total value of sales in respect of the period covered by the report;
(vi) the total amount of tax paid in respect of the period covered by the report.
8. Register ledger
(1) A user of a register shall keep a register ledger in which he shall record the
servicing of the register.
(2) A user of a register shall ensure that the following are recorded in the register
ledger—
(a) the name and address of the person servicing the register;
(b) an entry for each time the register is serviced, describing the servicing and
signed by the person performing the service.
(3) A user of a register shall safely keep the register ledger and avail it for inspection
whenever required by the Commissioner to do so.
9. Penalty
Any person who fails to comply with these Regulations shall be guilty of an offence
and shall be liable to a fine not exceeding five hundred thousand shillings or to
imprisonment for a term not exceeding three years or to both.
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FIRST SCHEDULE
[Rule 4.]
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(iv) print the sales records from its memory as per standard time units
(day, month, year);
(v) print data recorded in the memory and by commands given through the
keyboard;
(vi) store the recorded data in the memory and record that data in the
control paper roll;
(vii) operate without loss of continuity in the event of interruption in power
supply;
(viii) record in the memory, the dates of all transactions;
(ix) print in the English language.
SECOND SCHEDULE
[Rule 5(e)(ii).]
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1. This Order may be cited as the Value Added Tax (Remission) Order, 2007.
2. The tax payable on the items listed in the Schedule hereto being imported for the
Kwale Titanium Mining project by Tiomin Kenya Limited within the year 2007 be remitted
wholly:
Provided that the tax remitted by this Order shall be payable by Tiomin Kenya
Limited in the event that the Minister determines that Tiomin Kenya Limited is in breach of
any of the terms of the Agreement in relation to a Special Mining Lease granted by the
Government of Kenya to Tiomin Resources Inc. et al entered on 2nd February, 2005.
SCHEDULE
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SCHEDULE—continued
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SCHEDULE—continued
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1. This Order may be cited as the Value Added Tax (Remission) (Low Income Housing
Projects) Order, 2008.
3. (1) An application for tax remission under section 23(3)(1) of the Act shall be made in
writing to the Minister through the Minister for the time being responsible for Housing.
(2) An application under this paragraph shall—
(a) be submitted together with the detailed certified list of goods and services to
be rendered in respect of which the application is made;
(b) include the following—
(i) the location of the project;
(ii) evidence of construction cost;
(iii) approved designs of the project;
(iv) the number of units to be constructed;
(v) the approval of the development by relevant authorities;
(vi) the Personal Identification Number (PIN) of the applicant; and
(vii) tax compliance certificate.
5. (1) Except as provided in sub-paragraph (2) below, only one application shall be
made with respect to a given project.
(2) A second application in respect of the same project may be made if the applicant
demonstrates that the additional application relates to a separate phase of the project or
an expansion thereof.
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(b) allow and facilitate the Minister for the time being responsible for Housing or
the Commissioner to inspect the projects, including the goods and services
rendered;
(c) avail the records of such goods and services rendered for purposes of
inspection and audit to the Minister for the time being responsible for
Housing or the Commissioner;
(d) sell, rent or lease the houses to low income earners;
(e) sell the housing units at a price which is not more than thirty per cent above
the construction cost;
(f) ensure the rent charged for the houses constructed under the scheme
reflect the reduced cost of construction as a result of tax remission.
[L.N. 43/2009, o. 2.]
7. Where the Commissioner and the Minister for the time being responsible for Housing
is satisfied that an applicant granted tax remission under this Order has failed to comply
with the provisions of paragraph 6 above, the Commissioner shall require the applicant to
refund the tax remitted.
8. An applicant shall, if he sells, leases, rents or converts a house for uses other than as
provided under paragraph 6(d), before the expiry of five years from the date the
construction was completed, be required to refund the tax remitted or such portion thereof
as the Minister may determine relating to the construction of the part so converted.
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