That's a nice Kabuto you've got there.
I'm no expert on LC, but I do know that using Toxic on anything without a reliable recovery move is ill-advised. The set that I stole on Smogon goes like so:
Ability: Shell Armour
EVs: 116 HP / 196 Atk / 196 Def
- Aqua Jet
- Rapid Spin
- Rock Slide
- Knock Off/Stealth Rock
This is a bit different from your Kabuto, but it gets the job done. EVs have been redistributed (although they look a lot like yours) to give more offence. Aqua Jet replaces Waterfall to patch up Kabuto's sickly Speed. Rapid Spin is Rapid Spin, and Rock Slide is STAB to kill Fletchling and the like. Stealth Rock is the go-to hazard, but if you already have a SR setter, go for the exceptionally useful Knock Off.
Your Kabuto set, which is more defensively orientated, is fine just the way it is. I would just replace Toxic with Aqua Jet to nab some priority, and if you want a secondary STAB, replace Waterfall for the more powerful Rock Slide.