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EAC PROVISIONAL SCHEDULE OF TARIFF CONCESSIONS FOR THE AFRICAN CONTINENTAL FREE TRADE AREA (AfCFTA):>Customs Tax Consultant Kenya

LEGAL NOTICE IN EXERCISE of the powers conferred upon the Council of Ministers by Section 112 (1) (b) of the East African Community Customs Management Act, 2004, the Council of Ministers has approved preferential tariff treatment on originating goods imported from State Parties of the African Continental Free Trade Area (AfCFTA) African Continental Free Trade […]

Notice of Objection KRA Revaluation Kitchen Cabinets>Tax Consultant Kenya

Similar goods  means goods which, although not alike in all respects, have like characteristics and like component materials which enable them to perform the same functions and to be commercially interchangeable. The quality of the goods, their reputation and the existence of a trademark are among the factors to be considered in determining whether goods […]

Tax Appeals Tribunal Decision HS Classification Chapter 30>Customs Tax Consultant Kenya

The respondent required the applicant to pay a sum of KShs. 127,795,427/= in respect of the said pharmaceutical products which the respondent alleges the applicant had misclassified in its- import documentation. According to the respondent, the pharmaceutical products in question were food supplements and not medicines and therefore they ought to have been classified under […]

Tax Appeals Tribunal Decision HS Classification Chapter 39>Tax Consultant Kenya

The Respondent undertook a Post Clearance Audit (“PCA”) on the Appellant’s imports for the period 2016-2021. As a result of this exercise, the Respondent concluded that the Appellant’s product, Esprene SPO Vo141, had been misclassified and proceeded to re-classify it under HS Code 3811.29.00 instead of 3901.90.00.   JUDGMENT BACKGROUND The Appellant is a private company […]

Tax Appeals Tribunal Decision HS Classification Chapter 21>Customs Tax Consultant Kenya

In its response dated 7thFebruary 2020, the Respondent issued a tariff ruling (‘Tariff Ruling”) that the Apple Concentrate is classifiable under HS Code 2206.00.90. Dissatisfied with the Tariff Ruling, the Appellant lodged an Objection vide a letter dated 5thMarch, 2020. The Appellant averred that the Apple Concentrate ought to be classified under Chapter 21, specifically […]

Tax Appeals Tribunal Decision HS Classification Chapter 84>Tax Consultant Kenya

The Respondent conducted a post clearance audit on the Appellant’s consignments for the year 2016. The items imported were solar water heaters. Following the audit, the Respondent issued a demand notice of Kshs 10,207,370.00 on 25thNovember 2021 relating to additional import duty, excise duty and VAT. The Appellant being greatly aggrieved with the assessment objected […]

Tax Appeals Tribunal Decision HS Classification Chapter 84>Customs Tax Consultant Kenya

During the process of customs clearance, the Respondent disputed the Appellant’s classification of the haemodialysers and upon review, determined that the applicable tariff classification was 8421.29.00 attracting import duty at the rate of 10% and VAT at the rate of 14%.   JUDGEMENT BACKGROUND The Appellant herein is a limited liability company incorporated in the […]

Tax Appeals Tribunal Decision HS Classification Chapter 76>Tax Consultant Kenya

On or about the 16thJune, 2020 the Respondent sent a demand notice to the Appellant for the amount of Kshs. 54,097,685.00 being alleged tax due for underpayment of duty on imported raw materials.   JUDGEMENT BACKGROUND The Appellant is a private company limited by shares and is duly incorporated under the Companies Act, 2015 within […]

Tax Appeals Tribunal Kenya Decision Customs Valuation Transaction Value>Customs Valuation

Upon arrival of the first shipment (“the consignment”) at the Inland Container Depot (“1CD”) in Nairobi on or about 4thAugust, 2020, the Appellant was informed, through its clearing agent DHL Global Forwarding, that the Respondent had referred the consignment for valuation on suspicion of undervaluation. Upon valuation, the Respondent ruled that the declared FOB value […]

Tax Appeals Tribunal Decision Customs Valuation>Tax Consultant Kenya

The Appellant asserted that based on the transactional cost and applying the guidelines provided for under Schedule IV of EACCMA and the WTO Agreement on Customs Valuation (ACV) the total tax payable was KES 6,009,359.00. The Appellant attached the C.17 form for Entry Number. 2019 ICD 8735 in support of this contention.   JUDGMENT   […]