Kenya scraps excise duty on bottled water from 1 July 2026 under the Finance Act, 2026, dropping the stamp requirement while June returns are still due by 20 July.

RF Report

The Kenya Revenue Authority announced on 6 July 2026 that, under the Finance Act, 2026, which amends the First Schedule to the Excise Duty Act (Cap. 472), excise duty on bottled water has been abolished with effect from 1 July 2026. The announcement applies to all licensed manufacturers, importers of bottled water, and the general public.

Bottled water manufactured or imported on or after this date will not be subject to excise duty and will not be required to be affixed with excise 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.

Manufacturers are reminded of their obligation to submit their Excise Duty Returns for the month of June 2026 and pay the taxes due by 20 July 2026.