Nairobi, July 20 -- The Kenya Revenue Authority (KRA) has set a Sh13.9 billion tax goal in the next three years through June 2022 from foreign firms using the Internet to market and sell products in Kenya.
The taxman has identified foreign firms, which derive or accrue income in Kenya through digital marketplaces - selling exclusively online or providing platforms for such deals - as a major driver of tax receipts in coming years.
The digital services tax, which came into effect at the start of January, is 1.5 percent of the gross transaction value. It is levied on the sale of e-books, movies, music, games and other digital content. It also applies to foreign companies. The KRA target signals that firms like Amazon and Netflix are forecas...