Kenya’s Revenue Authority announced the removal of excise duty on bottled water with effect from 1st July, 2026.
The authority in a statement issued on Wednesday said the removal of a levy of 6.41 Kenyan shillings per litre is part of a wider overhaul of the country’s excise tax regime aimed at supporting changing consumption.
Accordingly, bottled water manufactured or imported on or after July 1 is no longer subject to excise duty or the requirement to carry excise stamps.
The tax authority said licensed manufacturers and importers will also no longer be required to affix excise stamps to bottled water covered by the revised law, reducing compliance requirements for producers.
At the beginning of this year, the national treasury said bottled water has become a commonly consumed product across both urban and rural areas and should no longer be regarded as a luxury item for tax purposes.
The treasury said the removal of the excise duty is intended to align the tax framework with evolving consumer habits while supporting affordability.
The government also indicated that it expects the elimination of the 6.41 Kenyan shilling-per-litre levy to translate into lower retail prices if manufacturers and distributors pass the tax savings on to consumers.
MG/as/APA