Why small scale traders will pay more to import goods
The Kenya Revenue Authority (KRA) has shifted to start charging consolidated cargo per transaction as opposed to KES 200 per kilogram which has been the case. The directive took effects on 1 March 2023.
In its press release, KRA highlighted that Kenya being a signatory, applies the World Trade Organisation (WTO) General Agreement on Tariffs and Trade (GATT) in valuation of imports goods; applying minimum test yields in assessment of imports to avoid unfair competition and forestall tax evasion.
In the recent past, customs has been one of the tax heads posting stellar performance in collections. For instance in the 2021/2022 financial year, customs collected KES 728.53B, a 103.7% performance rate.
Consolidated cargo allowed small traders to import cargo with ease. Assuming a small trader importing goods were unable to fill a container, a group of small traders can fill a container ‘consolidating’ their volumes and ship the merchandise in one container into the country.
KRA’s new directive will require importers of consolidated cargo to pay taxes based on transaction value as in World Trade Organisation (WTO) General Agreement on Tariffs and Trade (GATT).
KRA alleges, in the past small traders have abused the term ‘consolidate’ with the intension to evade paying tax.
Do you love solving puzzles?
Join our community and solve the Puzzling fun with our range of crosswords
Unleash Your Inner Detective!
We are building some fun puzzles to put your problem-solving skills to the test and we want you to have a blast while you're at it!
Share your email and we’ll serve up new puzzles with your morning coffee.
Do you want to help shape the features we prioritize? Take a Survey to help us understand what matters to you most
Gumzo La Sato is a live social issues show that aims to create awareness about issues affecting the larger society. The discussions range from Parenting, Marital bliss and struggles, Oppression, violence, and all matters of the Heart.
Health Diary is a weekly show that highlights different types of diseases/conditions and seeks ways to prevent, treat/manage them. The show debunks this through real life stories and also feature specialists in different fields, to offer medical advice on the same.
Speaking of Gen Z brings you entertaining but meaningful conversations about a generation that is trying to navigate through adulthood. Join hosts Michelle, Jackie and Esther as they unravel all things Gen Z.
Sport-On is a 30-minute sports magazine show on NTV and 3 hours on NATION FM. The show seeks to give the sports “fanatics” and “funatics” comprehensive and in-depth coverage of sports both locally and internationally.
A two-hour-long live show that airs on Fridays. The show focuses on what is current in the entertainment industry, controversial and popular across all media platforms targeting those aged between 25 and 35 years.
This weekly news show aims to have all sides of debate but not be constrained by it, listen to main voices in the contest but not allow them to hold the viewers hostage, entertain debate but allow push back with all due respect.
In this podcast, three widowers openly speak about the process of grief, how they found themselves exposed to the emotional turmoil of losing their wives, and how society still does not know how to deal with them.
Your World is a health, wellness and variety show. It provides a platform for audiences and experts to share their experiences on how to improve or manage health issues, across Kenya and the Africa region.