Kenya extends VAT exemptions

Mon 12th May 2014

Kenya has agreed to increase the number of basic goods which are exempt from its 16% VAT rate.

  • The new goods include:
  • Solar energy equipment
  • Animal feed and related equipment
  • Fishing nets

The move comes following the introduction of the Kenya VAT Act 2013, which removed the 12% reduced VAT rate and the reclassification of many previously exempt goods as subject to the standard VAT rate.

Other basic goods which are VAT exempt include: basic grains, rice, bread, agricultural supplies, medicines and pharmaceuticals.