The Kenya Revenue Authority (KRA) has extended the Ksh2.5 million benchmark value for consolidated cargo up to August 20 before new rates are announced, giving importers more breathing room at the ports.

🇰🇪 Breaking It Down

The announcement was made through a notice as seen by   Kenyans.co.ke on July 28, after KRA had an engagement with the Kenya National Chamber of Commerce and Industry (KNCCI) on July 20.

Come August 21, a new benchmark figure of Ksh3.2 million will take effect, replacing the current Ksh2.5 million threshold entirely.

“ The benchmark figure of Ksh 2.5 million for consolidated cargo will continue to apply until 20 August 2026,” KNCCI stated.

📌 What You Need to Know

This comes after weeks of back and forth between KRA and industry players who felt the earlier directive was hurting business and disrupting normal trade flow.

After the discussions, both sides settled on several resolutions meant to restore predictability and fairness in how import duty gets calculated going forward.

Stakeholders had earlier petitioned KRA over an internal directive setting minimum benchmark values, arguing it carried serious legal and economic consequences for traders.

To cushion traders from further uncertainty, KRA has committed to locking in this new price for 2 years once it becomes active.

According to KNCCI, a consolidator who believes their cargo warrants a lower tax bracket can still request verification and valuation, giving businesses a fair shot at an accurate assessment.

KRA and industry stakeholders also agreed to review benchmarks for other low-value goods, while urging all traders to pay their fair share and support Micro, Small, and Medium Enterprises (MSMEs) over large shippers seeking to dodge higher taxes.

📰 Source: Kenyans.co.ke