NAIROBI, Kenya, July 6 – The Kenya Revenue Authority (KRA) has removed excise duty on bottled water following the enactment of the Finance Act, 2026, which amended the Excise Duty Act, Cap 472.
In a statement, KRA said the changes took effect on July 1, 2026, and apply to all licensed manufacturers and importers of bottled water.
As a result, bottled water manufactured or imported from that date will no longer attract excise duty or require the affixing of excise stamps.
“Bottled water manufactured or imported on or after this date will not be subject to excise duty and will not require to be affixed with excise stamps,” KRA said.
The authority added that it will issue detailed guidelines on the return of unused excise stamps and the decommissioning of digital stamps.
“The Commissioner will issue detailed guidelines on the return of unutilized stamps and the decommissioning of digital stamps, which will be published on the official KRA website,” the statement said.
Before the amendments, bottled water manufacturers paid Sh0.50 per excise stamp for bottled water and Sh5.74 per litre for water dispensed through water vending machines (water ATMs).
“Manufacturers are reminded of their obligation to submit their Excise Duty Returns for the month of June 2026 and pay the taxes due by 20th July, 2026,” KRA said.
