Section 9

Excisable value 

Subsections: 1,  2,  3,  4,  5,  6, 

(1)

  This section shall apply where the First Schedule specifies a rate of excise duty payable by reference to the excisable value of excisable goods or services.

(2)

  The excisable value of excisable goods imported into Kenya shall be the sum total of the following amounts—

• (a) the customs value of the goods as determined under the East African Community Customs Management Act, whether or not any duty of customs is payable on the goods; and 
• (b) the amount of duty of customs (if any) payable on the goods under the East African Community Customs Management Act, 2004. 

(3)

  The excisable value of excisable goods manufactured in Kenya shall be the ex-factory selling price of the goods, but not including –

• (a) the value added tax payable on the supply of the goods; 
• (b) the cost of excise stamps, if any; or 
• (c) the cost of returnable containers. 

(4)

  Subject to subsections (5) and (6), the excisable value of excisable services shall be –

• (a) if the excisable services are supplied by a registered person in an arm’s length transaction, the fee, commission, or charge payable for the services; or 
• (b) in any other case, the open market value of the services.

(5)

  The excisable value of excisable services shall not include the value added tax, if any, payable on the supply of the services.

(6)

  The excisable value of excisable services specified in item 4 of Part II of the First Schedule shall not include interest or an insurance premium.