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Kenya Further Extends Temporarily Reduced VAT Rate on Certain Fuels

|Approved Changes|Kenya
Kenya

Kenyan President William Ruto signed the Tax Laws (Amendment) Bill 2026 on 16 October 2026 (X post), which extends the temporary reduction in the VAT rate from 16% to 8% on:

  • Motor Spirit (gasoline) premium;
  • Illuminating Kerosene; and
  • Gas Oil (automotive, light, amber for high-speed engines).

The reduction initially applied for a period of 90 days, beginning 15 April 2026, and was subsequently extended to 14 October 2026. It has now been extended a further 90 days to 12 January 2027.

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