Digital Purchases to Be Taxed at 1.5% in Kenya
A worker loads a shopping cart with good to prepare an order at a logistics and distribution hub at Tatu City Industrial Park, outside Nairobi.
Photographer: Luis Tato/BloombergThis article is for subscribers only.
Kenya plans a 1.5% digital tax on the value of online transactions, according to proposals in the Finance Bill 2020, cashing in on a nascent industry taking off amid the coronavirus pandemic.
The government in East Africa’s biggest economy will also start levying a minimum gross sales tax of 1% and proposes a minimum tax for all companies. The draft measures will be presented to the National Assembly for a first reading on Wednesday.