Kenya Income Authority (KRA) has introduced that social media influencers will not be exempted from paying the 1.5% Digital Tax.
The Taxman stated that Social media influencers will probably be liable to pay digital service tax since their earnings is derived from or accrued from the availability of providers via a digital market or by offering digital promoting providers in Kenya.
Social media influencers will probably be liable to pay digital service tax since their earnings is derived from or accrued from the availability of providers via a digital market or by offering digital promoting providers in Kenya.
For extra particulars, https://t.co/TsfYZn4UZo pic.twitter.com/4bK1zsr5ik
— KRA Care (@KRACare) January 18, 2021
This follows the Finance Act just lately signed into legislation by President Uhuru Kenyatta which seeks to broaden the Revenue Tax Act web to incorporate the earnings accruing via the digital market place.
The Finance Act 2020 said that the exchequer anticipates elevating KES 2 Billion from the Digital Service Tax which will apply to a variety of digital providers that people and companies devour day-after-day.
The legislation additionally applies to;
- Streaming and downloadable providers of digital content material.
- Transmission of knowledge collected about customers which have been generated from such customers’ actions on a digital market, nevertheless, monetized.
- Digital market, web site or different on-line purposes that hyperlink consumers and sellers.
- Subscription-based media together with information, magazines and journals.
- Digital information administration together with web site internet hosting, on-line information warehousing, file-sharing and cloud storage providers.
- Provide of search-engine and automatic helpdesk providers together with provide of personalized search engine providers.
- Tickets purchased for reside occasions, theatres, eating places and so forth. bought via the web.
- On-line distance instructing through pre-recorded medium or eLearning, together with on-line programs.