Ruto Directive Reshapes KRA Clearance of Imported Used Cars via NTSA

The Kenya Revenue Authority (KRA) has updated the clearance process for imported vehicles, allowing licensed motor dealers to transfer second-hand cars directly to their showrooms after paying customs charges, while deferring formal registration until a final buyer is found. The operational shift follows an executive directive issued by President William Ruto through the National Transport and Safety Authority (NTSA), detailed in an internal circular from KRA’s Customs and Border Control Department. “The President issued a directive through NTSA that vehicles imported by licensed dealers be released upon payment of all applicable customs duties, taxes and levies pending completion of the vehicle registration process,” the circular stated. Step-by-Step Breakdown of the New Clearance Workflow Under the revised framework, the clearance sequence follows a streamlined multi-stage path. First, licensed dealers lodge an import declaration through the Integrated Customs Management System (iCMS) upon a vehicle’s arrival. Dealers pay standard customs duties, taxes, and levies at this initial stage, while NTSA registration fees and associated administrative levies remain deferred until the unit sells. Following confirmation of payment, customs officers perform a physical inspection of the vehicle. A centralized release officer then evaluates the entry records and grants official authorization for release. Before moving any vehicle out of the customs precinct, dealers apply for a Kenya Dealer (KD) identifier via the NTSA digital platform. NTSA generates a unique identifier pairing the dealer’s KD number with the vehicle’s specific chassis number, which automatically synchronizes with KRA’s customs database. Finally, a border control officer verifies that the identifier logged in iCMS mirrors the physical details displayed on the vehicle. “If the details match, then the motor vehicle can be released to the dealer for onward transfer to the dealer’s yard,” KRA noted. Final Registration Upon Sale Vehicles can now remain on display at dealer premises while businesses secure buyers. Once a transaction is completed, the dealer submits a formal registration application to NTSA and settles the outstanding registration fees via the eCitizen portal. KRA confirmed that the newly assigned registration number will transmit directly to the customs system through an application programming interface (API), ensuring real-time data reconciliation and comprehensive audit tracking. The post Ruto Directive Reshapes KRA Clearance of Imported Used Cars via NTSA appeared first on Nairobi Wire .