To understand this you must first know the meaning of the abbreviations ETD and ETA.
ETD means Estimated Time of Departure of the vessel.
ETA means Estimated Time of the arrival of the vessel.
Good year/good month means that for example in the year 2013 we are importing the year 2006 cars onwards as per the KRA rules-here the year 2006 is our good year- the year 2007, 2008, 2009, 2010, 2011 and 2013 are bad years in the reference to this case reason being the year 2006 cars have depreciated with 70%.
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NOTE: DEPRECIATION IS BASED ON DATE OF FIRST REGISTRATION AS PER THE FOREIGN LOGBOOK/INSPECTION CERTIFICATE e.g: JEVIC DEPRECIATION FOR DIRECT IMPORTS |
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| 0 - 6 months | 5% |
| Over 6 months | 10% |
| 1 - 2 years | 15% |
| 2 - 3 years | 20% |
| 3 - 4 years | 30% |
| 4 - 5 years | 40% |
| 5 - 6 years | 50% |
| 6 - 7 years | 60% |
| 7 - 8 years | 70% |
A good month is usually determined by the relationship between ETA and the car month of first registration i.e. if a car first registration was 2006/4 and the vessel ETA at the port of Mombasa is on 2013/4 this car we call it a good year/good month car.
We recommend people to source for good year/good month cars for them to be duty friendly.
If the car's first registration is 2006/11 and the vessel ETA is 2013/9 this car turns out to be a good year/bad month car and will attract on extra cost in its final duty.
Also, note the duty of a good year/bad month is equal to the duty of bad year/good month.