Tax Dodge Loophole Blocked

Jun 22, 2003

Bringing undeclared goods through Mombasa in newly bought imported vehicles as personal effects, is being discouraged.

By Mikaili Sseppuya
Bringing undeclared goods through Mombasa in newly bought imported vehicles as personal effects, is being discouraged.
This follows a recent Kenyan decision to enforce an old law prohibiting the interstate transfer of such goods on the ‘unlicensed’ newly imported vehicles. Many Ugandans have been doing this for several years now.
“This has been the most logical way for somebody bringing in his vehicle and goods, having paid for the vehicle space. Many people will now find the new process cumbersome,” Chris Kanyima of Offshore Masters, a clearing firm, said last week.
The Kenya Ports Authority (KPA) issued the directive in a June 6 press release. KPA reminded port users that the law is still in place, but has not been enforced.
“It is against the customs law to just put goods on newly bought trucks and bring them, saying they are destined for neighbouring countries. We do not inspect the transit cargo, so we can not know what is on the vehicle and where it would end.
“Goods on such vehicles will be treated as if they are for home consumption in Kenya, unless they use the transit vehicles allowed for those being taken further out of the country,” James Ng’ang’a, the KPA Resident Representative in Kampala said.
Recently KPA opened a new multi-million dollar facility at Mombasa port that will now give users faster service in clearing their goods.
Mombasa remains Uganda’s main port of entry and exit, but some imports do come in through Dar es Salaam. Ends

(adsbygoogle = window.adsbygoogle || []).push({});