Parliament To Review USD500 JKIA Customs Duty

National Assembly Finance and Planning Committee Chairperson, Kuria Kimani has announced that Parliament will review the customs duty imposed on goods over Ksh75,505 (USD500) at all entry points which include airports.

Speaking during the 2023 Taxpayers Day in Mombasa County, Kuria revealed that he had held discussions with Speaker Moses Wetangula and agreed to assess the Customs Duty Act following uproar from Kenyans who claimed the Kenya Revenue Authority (KRA) customs officials were harassing them on entry to the Jomo Kenyatta International Airport (JKIA) in Nairobi.

"With consultations of the NA, we are reviewing this Act with the remarks of Kenyans so that we can make the entry points into the airport more friendly," he announced.

National Assembly Finance and Planning Committee Chairperson Kuria Kimani addressing during an engagement with stakeholders on the proposed Finance Bill 2023 on May 27, 2023. /FACEBOOK.KURIA KIMANI

Kuria went on to reveal that the review would be done in line with the relevant concerns raised, even though he underscored the importance of collecting taxes.

He noted that Kenyans in the diaspora had expressed fears of returning home for the festive season following punitive measures imposed by KRA on passengers flying into JKIA.

Meanwhile, Treasury Cabinet Secretary Njuguna Ndung'u clarified that the taxes were not newly imposed as Kenyans claimed they were.

Nonetheless, he noted that JKIA officers were under instructions not to mistreat visitors coming into the country through the airport and to act according to the law.

"The last time we made any changes to the Tax system was in June 2023 through the Finance Bill, and that is what we are implementing so far. No new taxes have been introduced," the CS clarified. 

"The process at our entry points is smooth, and the customs officers at the KRA have been instructed that this should remain the same."

On Thursday, November 2, Tourism CS Alfred Mutua revealed that he scheduled a meeting with KRA Commissioner General Humphrey Wattanga intending to address the uproar that ensued following the taxman's enhanced crackdown on passengers flying in to the country with goods from abroad.

Mutua revealed that he had a telephone conversation with Wattanga in a bid to address the matter and prevent a scenario of tourists keeping off Kenya as their destination of choice ahead of the festive season.

"I have earlier today had a telephone conversation and scheduled a meeting with Mr Humphrey Wattanga, the Commissioner General of Kenya Revenue Authority, to discuss how we can work together to grow the tourism and travel industry," he stated.

Notably, the CS in October at the Kenyatta International Conference Centre (KICC) while addressing stakeholders on the Tourism sector marketing strategy, called out KRA Customs officers based at the airport for harassing tourists who fly into the country via JKIA on a visit from other countries.

Mutua explained that tourists are treated harshly by KRA officers on arrival in the country, which he said discourages them from coming back to Kenya, revealing that the officers at times resort to measures that infringe on their privacy while conducting checks on their luggage.

KRA earlier dismissed the confusion that stemmed from its multiple deleted statements that the agency was planning to tax personal luggage valued at USD500 or more.

In a detailed explanation, the taxman, while reiterating its commitment to continuous improvement, revealed that it is in the process of upgrading the use of technology to enhance non-intrusive inspection of baggage at all points of entry.

Part of this process is to ensure that prohibited and restricted goods are screened out for security purposes. For passenger clearance at terminals, KRA clarified that all used personal items/effects are exempt from customs duty.