Motorcycles carry a lot of the country's passenger and delivery trade, and many operators and traders import their bikes or parts. The taxes are lower than on cars, but they still add significantly to the price, so an estimate before you order is worth the few minutes.
The taxes that apply
For an imported motorcycle, the usual layers are:
- Import duty, at the tariff rate for the motorcycle's classification. The rate depends on the type and engine size; see the EAC common external tariff explained.
- Excise duty, which applies to some categories; check whether your bike is covered; see excise duty on imports and vehicles.
- Import Declaration Fee and Railway Development Levy; see IDF and RDL explained.
- VAT at 16% on the customs value plus duty and any excise.
The motorcycle import duty calculator puts these together, and the import duty calculator handles other goods.
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An example
A motorcycle has a customs value of KES 150,000. If the duty rate is 25%, duty is KES 37,500. The declaration fee and levy add about 4.5%, or KES 6,750. VAT is 16% of (150,000 + 37,500), which is KES 30,000. Total taxes and fees are about KES 74,250, nearly half of the customs value. Use the calculator for the rate that applies to your bike.
Other costs
- Shipping and insurance, which form part of the customs value; compare terms in Incoterms explained for importers
- A clearing agent's fee, port charges and transport to your area; see clearing agent or clear it yourself
- Inspection, where required
- Registration, number plates and insurance with the transport authority and an insurer
The landed cost calculator adds shipping and clearing, so you see what the bike really costs on the road.
New or used
New motorcycles are valued on the invoice. Used ones are subject to age limits and valuation checks, and they may need inspection before shipment. Ask your agent for the rules that currently apply; see importing a used car for how the process works for vehicles.
If you will use it for business
If you use the bike for deliveries or as a taxi, it is a business asset. Record it in a fixed asset register such as the fixed asset register with depreciation, and track fuel and servicing with the fleet fuel and maintenance tracker. Income from the business is taxable; see turnover tax for small businesses.
Financing
Many riders buy on credit. Check what the repayments will do to your cash with the loan affordability checker and schedule before you commit, and read borrowing for your business.
Importing parts and accessories
Parts and accessories are classified separately from the motorcycle and may carry different duty rates. Check each item's code; see how to calculate import duty on goods.
Related reading
If you are comparing the cost of a motorcycle with a car or a small vehicle, read how much it costs to import a car to Kenya and use the car import duty calculator. Check the age rule for vehicles with the car age checker, and keep the customs documents together using the import documents checklist.
Rates and rules differ by type of bike and change over time. Confirm them with KRA or a licensed clearing agent.
Common questions
Is excise charged on motorcycles? Imported motorcycles pay a fixed excise amount per unit, which is set in the Excise Duty Act and adjusted for inflation, in addition to import duty and VAT. Electric motorcycles and locally assembled ones are treated differently.
Do I need KEBS approval for a motorcycle? Many motorcycles and parts fall under mandatory standards, so a pre-shipment certificate of conformity may be needed. Ask your agent before you pay the supplier.
Can I import a used motorcycle? Used motorcycles are subject to the same maximum age rule as used cars, and KRA may value them from its own schedule. Check the year of manufacture and the documents before you ship.