In Kenya, the General Rate of VAT charged is 16% and Zero Rated. However, Traders also charge VAT 12% on some of the designated goods and Services.
VAT is imposed at THREE tax rates, which are:
16%: This is the general rate of tax and is applicable to all taxable goods and taxable services.
12%: This rate is charged on the purchase of Electricity
Zero %: This applies to certain categories of goods and services, which includes exports, agricultural inputs, pharmaceutical products and supplies to privileged persons.