Kenya VAT changes

Fri 12th Jun 2015

The new 2015/16 budget for Kenya includes a number of VAT changes, including:

  • Good in transit will be nil rated instead of exempt from VAT, meaning input suffered will be recoverable
  • VAT credits in returns will be refundable within 12 months of application
  • Goods provided for the construction of capital works in industrial estates will now be exempted

The current Kenyan VAT rate is 16%.  There is no reduced rate, but there is a nil rate and zero rating.