Kenyan car dealers have on many occasions complained over the influx of cheaper vehicles into the country. The claim that many Kenyans have opted to importing cars from Uganda which is relatively cheaper compared to shipping them in Kenya.
Kenya allows importation of cars aged six years or less while Uganda has a 15-year limit for the importation of used cars which means one can import an old model car with affordable costs.
Kenyans who choose to import cars through the neighboring boarders are faced with a task of using Ugandan number plates since registering in Kenya would be charged same as importation fee.
Kenyan authorities know this scheme, operations of foreign vehicles which do not meet the requirements are made to re-export the vehicles with immediate effect.
“KRA had enhanced investifgations to identify the perpetrators of these fraudulent schemes. Those found culpable will be proseciuted and their vehicles and goods detained as stipulated by the law” A KRA public notice said.”
Many car buyers have fallen prey of their sellers who expertise in sweetening the deal, only to find themselves in a tight corner after doing business without due diligence.
In a notice dated on March 17th, the Kenya Revenue Authorities noticed an increase in trucks and motor vehicles operating without payment of duty and as well as transporting illegally unaccustomed goods.
In the public notice, a high rate of non-compliancy has recently risen among the road users, asserting that the Kenya Bureau of Standards (KEBS) provides clear regulation of old age car importation. Terming it a prohibited business.
The East African Community Customs Management Act 2004 section 200 clause d and section 210 clause c states that possession of a motor vehicle whose duty is unpaid is considered an offense.
The Authorities went on to sensitize the public to be on the watch when making car deals and avoid con men.
“The public is reminded to verify the payment status of customs duty with KRA before making car purchase. Tax payers are further requested to report any suspected non-compliant vehicles operating in the country to the KRA Authorities.
In the past KRA has issued new directives forcing the registration of new car with an electronic sticker from the National Transport Authorities in an attempt to curb tax evasion by unscrupulous traders who sold imported cars in the local market.
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