What is Excise Tax?
Excise duty in Kenya, commonly referred to as “sin tax” is an indirect tax on the (s.5(1)EDA)
local manufacture of certain products and
supply of excisable services.
Indirect means KRA levies the tax on the producer or supplier,
who passes the tax onto the consumer by
including it in the product's price. Local excise duty is collected monthly or on importation of goods.
Prior to the enactment of the Excise Duty Act, 2015, (the Act) the Kenyan excise duty
provisions were enshrined in the Customs and Excise Act, Cap 472