Explainer: What happens to imported cars before they are registered under new KRA rules?

Kenya's revised imported vehicle clearance procedures have changed the way licensed motor vehicle dealers bring second-hand cars into the country, clear them through customs, and prepare them for sale. Under the new system, imported vehicles can now move from customs-controlled facilities to dealers' yards before receiving their final Kenyan registration numbers.

This allows dealers to advertise and sell vehicles without first obtaining the final Kenyan registration number. However, the vehicle must undergo customs clearance and receive a Kenya Dealer (KD) identifier, which is separate from an ordinary Kenyan vehicle registration number. The KD identifier links the vehicle to its chassis number and the importing dealer, enabling authorities to establish its identity during the clearance process.

Prospective buyers should verify that the vehicle has completed customs clearance and ensure that the details correspond with the import documentation. Additionally, buyers should confirm whether the quoted selling price includes registration-related charges or if these will be paid separately. Importantly, the revised clearance arrangement does not remove customs taxation.

Dealers must pay all applicable import duties, taxes, and levies before the vehicle is released from the customs-controlled facility. The difference is that NTSA registration fees and levies are deferred until a buyer is secured.

Brief written by urgent.news from People Daily Kenya's own syndicated text. Machine-written — may contain errors; check the original before relying on it.