Calculate VAT for a classified Kenyan supply. The general rate is 16%. Legal Notice 128 applies 8% to the listed premium motor spirit, illuminating kerosene and gas oil from 15 July to 14 October 2026. Select the dated fuel option in advanced mode. A recipient may owe reverse VAT even when neither party is VAT-registered; eligible input credit is a separate question.

Formula

Invoice VAT = net value × rate. Included price: net value = total ÷ (1 + rate). Withholding = 2% of taxable value when applicable. Reverse VAT is remitted by the recipient; the foreign supplier receives the consideration without that VAT.

Examples

Taxable imported service

KES1000 consideration: reverse VAT160 paid to KRA, supplier payment1000 and cash cost1160 before eligible input credit.

A PRACTICAL GUIDE

When to use this calculator

This calculator distinguishes invoice VAT, eligible withholding and reverse VAT on imported services. It helps explain the amount charged and who remits it, while preserving the difference between a domestic supplier payment and consideration paid to an overseas supplier.

Information to prepare

Confirm the transaction date and any dated rate treatment, particularly when reviewing historical fuel purchases. Check the withholding conditions and identify its taxable-value base. A withholding percentage and the VAT rate are different inputs and should not be substituted for one another.

How to interpret the result

The tax base is the value to which the selected transaction treatment applies. An inclusive total already contains tax and requires a reverse calculation to recover its net value. These amounts are not interchangeable. Tax charged on an invoice, tax withheld by a customer and eligible input-tax credit describe different obligations. Subtracting two amounts in a cash breakdown does not establish that they have the same legal treatment. Check what each output represents before using it in an invoice or budget.

A practical comparison

For an imported service, compare the supplier consideration with the VAT separately remitted by the recipient. For an ordinary invoice, reconcile tax and payment using the selected mode. PAYE and employee deductions belong in the income-tax tool, not in the VAT price calculation.

Check your calculation step by step

  1. Match the figures to the selected period and use KES for monetary inputs. If you start with a document in another currency or covering several periods, resolve that difference before entering a combined amount.
  2. Calculate the documented case first. Then change one input at a time to compare scenarios. Keep the original values available so a change in the result can be traced to a particular assumption rather than several simultaneous edits.
  3. Read the component breakdown alongside the formula and examples below. If an official document differs, check the date, base, rounding and omitted concepts before changing a rate or treating the difference as an error.

Continue with a related calculation

These tools cover other questions in Kenya. Choose the one that matches the amount you want to check:

  • Kenya income tax calculator

    Kenyan PAYE with correct insurance relief, capped pension deductions, February 2026 NSSF, AHL, SHIF and actual cash deductions.

If you are comparing countries

Open the relevant jurisdiction when comparing a move, an offer or a transaction abroad. Each tool uses its own currency, period and scope; its result should not be substituted into the current calculation.

Explore all calculators for Kenya

Frequently asked questions

Is every petroleum product at 8%?

No. This preset covers tariff codes 2710.12.20, 2710.19.22 and 2710.19.31 during the dates in Legal Notice 128. Other dates or products need the applicable legal classification and, where appropriate, a documented manual rate.

Can imported-service VAT disappear because the supplier is not registered?

Not for that reason. KRA states that the recipient accounts for taxable imported services irrespective of its registration. If a foreign provider already charges Kenyan VAT, use invoice mode to avoid accounting twice.

When is withholding excluded?

The form supports zero-rated/exempt supplies, non-registered suppliers, official aid-funded projects and valid qualifying manufacturer exemptions. The buyer must be an appointed agent. Input credit remains subject to documentation and taxable business use.

CHECK THE REFERENCES

Official sources